- Advertisement -Newspaper WordPress Theme
UncategorizedChainalysis Data Shows Hedge Funds Bought the Bitcoin Dip

Chainalysis Data Shows Hedge Funds Bought the Bitcoin Dip


advertisement


Bitcoin and crypto market crash over the past couple of days saw nearly $500 billion getting wiped out of the crypto market cap as major cryptocurrencies fell over 30%. The Wednesday crash brought back memories of last year’s March mayhem when Bitcoin and altcoins fell over 50% in a single day. The market mayhem led to the liquidation of over $8 billion worth of leveraged positions as well. However, the price crash also brought a perfect investment opportunity and it seems Hedge Funds and big whales were the first to grab the opportunity.

advertisement


Timecoin

As per Chainalyis data institutional investors bought the dip and also helped the free fall in price to rebound most of the losses within 24-hours of the crash. The data indicate these Hedge Funds and big players bought 34,000 Bitcoin on Tuesday and Wednesday after selling nearly $2 billion worth of Bitcoin holdings over the past two weeks.

Bitcoin and Crypto Market On-Road to Recovery

The major crash on Wednesday saw Bitcoin price fall to $30,000 levels while Ether price fell below $2,500 and both the top cryptocurrencies lost 50% of their entire market cap from the top. However, the market has bounced back strongly as BTC retraced to price levels above $42,000 while Ether bounced back near $3,000.

The current funding rates have also cooled down to negative levels which are considered bullish. The crypto analysts also pointed that the major panic selling came from short-term holders as the majority of long-term holders with over 1-year wallet holdings still continue to hold their Bitcoin. They also deemed these shakeups necessary to get away with weak hands. Apart from panic selling among small-time holders and whales, the malfunctioning of major crypto exchanges including Coinbase, Kraken, Binance, and Coinmarketcap also added to the misery since people were not able to access their accounts for buying the dip.

To keep track of Crypto updates in real time, Follow us on Twitter & Telegram.

Disclaimer

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

About Author

An engineering graduate, Prashant focuses on UK and Indian markets. As a crypto-journalist, his interests lie in blockchain technology adoption across emerging economies.

Source link

Leave A Reply

Please enter your comment!
Please enter your name here

Subscribe Today

GET EXCLUSIVE FULL ACCESS TO PREMIUM CONTENT

SUPPORT NONPROFIT JOURNALISM

EXPERT ANALYSIS OF AND EMERGING TRENDS IN CHILD WELFARE AND JUVENILE JUSTICE

TOPICAL VIDEO WEBINARS

Get unlimited access to our EXCLUSIVE Content and our archive of subscriber stories.

Exclusive content

- Advertisement -Newspaper WordPress Theme

Latest article

More article

- Advertisement -Newspaper WordPress Theme
$100/Day Profit Daily,
Get Paid to Use Facebook, Twitter, and YouTube.

Discover how to become an 'Online Assistant' and get paid to do freelance work, tasks & projects from home on behalf of companies.