Bitcoin experiences first drop below $57k in two months.
Bitcoin’s price has been in a downward trend recently, falling below the significant $60,000 mark due to increased whale activity. In the past 24 hours, BTC has declined by 8% and is currently trading around $56,990, its lowest level since late February. This decline has resulted in Bitcoin’s market cap dropping below $1.13 trillion. However, despite the price drop, the daily trading volume of Bitcoin has increased by 70%, surpassing $45 billion.
Data from Santiment reveals that the number of whale transactions, involving at least $100,000 worth of BTC, has risen by 60% since April 28. This increase is significant, with the number of daily transactions rising from 7,973 to 12,735. Additionally, the amount of Bitcoin supply held in exchanges has also increased from 811,810 BTC to 821,740 BTC in the past 24 hours. This suggests that some Bitcoin holders may be looking to sell their assets due to the fear, uncertainty, and doubt prevailing in the crypto market.
A recent report by BitMEX highlighted that an unknown organization currently controls 47% of the global Bitcoin mining hashrate, posing centralization risks to the network. Meanwhile, the BTC Relative Strength Index (RSI) has dropped from 52 to 40, indicating that Bitcoin is undervalued at its current price. The increased whale activity may bring higher price volatility to the asset.
In other news, Roger Ver, also known as “Bitcoin Jesus,” has been arrested on charges of $50 million tax fraud.
