The classic bullish cycle forecast is “totally bullish” as the whales try to hedge the Fed this week.
Bitcoin (BTC) whales are in the spotlight this week as buy and sell habits split in BTC price reports.
New data from network chain analytics company CryptoQuant shows derivatives investors are leading the way when it comes to bullish bitcoin betting.
Indicator “Sick” BTC in favor of bulls
The second half of November saw a significant jump in buy / sell rates on the main derivatives trading platform, Deribit, and for analyst Cole Garner, this is a sure sign that advertising prices will react to a positive reaction in the near future.
He commented, “I recently found that Deribit Trade’s annual buy-to-sell ratio is an important leading indicator.
“This is a 30 day WMA. A strong uptrend in the index preceded a strong uptrend in this uptrend. And it just prints a bullish monster move. ”
The data is based on other recent stock market observations, given the continued interest of whales as prices retrace from record highs.
Broader foreign exchange reserves are currently at a 4-year low, which means exchanges have less BTC on their balances than at any time since the old all-time high of $ 20,000 in 2017.
Bitcoin exchange reserves chart. Source: CryptoQuantFed Pressure on BTC Positions
The downside, however, is stablecoins. These rewards hit their all-time high this week, which means whales are hedging BTC.
Related: “I Think BTC Is Ready” – 5 Things To Watch Out For Bitcoin This Week
“The converted stablecoin index shows ATH (all-time high). I’m not sure if the whales will benefit from market volatility, according to the FOMC’s Dec 16 announcement, but this is also one of the uncertainties, ”said Dan Lim, a CryptoQuant spokesman.
“For now, we remain wary until some of the uncertainty is cleared up.”
Screenshot showing the steady increase in redemption points. Source: CryptoQuant
The US Federal Reserve is meeting this week to report on the future of quantitative easing in the form of asset purchases, which could have far-reaching implications for the macro market, textiles and cryptocurrencies.