- This positive movement concluded a week marked by the departure of Changpeng “CZ” Zhao from Binance, the world’s largest cryptocurrency exchange.
- Although there was initially a price correction after this rally, the recent surge brought the Bitcoin price to its highest point since May 5, 2022.
- Whales or large crypto holders can determine market sensitivity and influence asset prices through collective actions.
Bitcoin managed to surpass the critical resistance level of $38,000 on Friday, but it couldn’t hold onto this level: why is $38,000 important?
What Is Needed for Bitcoin’s Upward Movement to Continue?
The recent surge in the Bitcoin price, breaking above $38,300, has demonstrated significant strength and momentum, marking the first time in over a year. This positive movement concluded a week marked by the departure of Changpeng “CZ” Zhao from Binance, the world’s largest cryptocurrency exchange.
According to recent on-chain analyses, the rally above $38,000 could be an indicator of what is to come if Bitcoin can maintain its current momentum. Although there was initially a price correction after this rally, the recent surge brought the Bitcoin price to its highest point since May 5, 2022.
While there are various factors that could be attributed to the recent rise in Bitcoin’s price, Santiment identified the largest Tether (USDT) addresses as one of the main contributors to this increase. According to on-chain data provided by the analytical platform, the top 100 Tether addresses reflected a buying power of 9.7%, investing $1.67 billion in the market over the past six months.
Tether, the largest USD-backed stablecoin in the market, naturally provides stability for traders and investors in the volatile cryptocurrency market. According to Santiment, the increase in funds provided by USDT whale addresses in recent times indicates growing confidence among significant investors.
Whales or large crypto holders can determine market sensitivity and influence asset prices through collective actions. The on-chain intelligence platform highlighted that if the buying power of USDT whales continues to increase, Bitcoin’s price could surpass the $40,000 barrier in the near future.
However, the Bitcoin market, like many other factors, is influenced by various elements, including regulatory developments, macroeconomic trends, and technological advancements. Regarding regulatory developments, many asset managers are still awaiting approval from the Securities and Exchange Commission (SEC) in the United States to offer Bitcoin spot exchange-traded funds (ETFs).
Bitcoin Price – Overview
At the time of writing, the Bitcoin price is at $37,720, reflecting a 1.1% increase in the last 24 hours. While the market leader may have experienced a relatively calm period last week, BTC’s value has increased by almost 4% over the past seven days, according to data. Bitcoin is currently ranked as the largest cryptocurrency with a market capitalization of approximately $739 billion.
