Bitcoin whales fill their bags despite warnings BTC price could fall below $40K


Bitcoin (BTC) headed toward $42,000 on April 9 after bulls failed to spark a late-week turnaround.

1fffcddd cefe 42db 8160 b48411b4d1d0
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView

Bitcoin lines up 10% weekly red candle

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD slowly dissolving support levels in place for several weeks as the weekend began.

After multiple tests of $43,000, that area finally gave way to see the pair hit lows of $42,131 on Bitstamp, its lowest since March 23.

Bulls hoping for a rescue move felt the pain, with cross-crypto liquidations totaling $200 million in the 24 hours to the time of writing Saturday, data from on-chain monitoring resource Coinglass confirmed.

40e04c47 49ea 4bb4 962f a00d93e041b6
Crypto liquidations chart. Source: Coinglass

For traders, the short-term outlook was thus firmly bearish in character. Popular commentator Crypto Ed eyed a retest of $40,000, but warned that Bitcoin might not stop there.

“As long as it doesn’t reclaim 44k or even better 45-46, I’m affraid we have to be ready for more downside and at least retesting 40k and maybe even lower,” he warned Twitter followers.

“Like I said a week ago, not trusting anymore those moves up.”

An accompanying chart showed a projected multi-step downtrend with support levels at $40,000 and $37,500.

881297c1 195e 41c5 8bad b0e0208f9145
BTC/USD annotated chart. Source: Crypto Ed/ Twitter

 Yann Allemann and Jan Happel, co-founders of on-chain analytics firm Glassnode, meanwhile drew attention to the potential for volatility thanks to lower weekend market volumes.

In contrast to the previous week, Bitcoin’s weekly candle set to close Sunday thus included almost $5,000 of losses or nearly 10%.

Nothing stops Bitfinex whales

Nonetheless, not everyone was attempting an exit.

Related: Waiting for $40K? Bitcoin’s critical level is already here, says new research

According to the latest data, Bitcoin whales were busy buying up new supply from sellers, with exchange Bitfinex seeing some notable bid volumes getting filled.

Previously, Cointelegraph reported on the significance of Bitfinex whales and their buying and selling habits this year.

Another large-volume wallet of unknown origin likewise continued to buy millions of dollars’ worth of BTC at regular intervals regardless of price action — a strategy known as dollar cost averaging.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.