As the crypto total market cap stands at $3.16 trillion, Bitcoin is stuck under the $98,000 mark. Currently, BTC trades at a market value of $97,562, registering a 24-hour drop of 1.16%.
As BTC remains under a $2 trillion valuation, the growing bearish influence marks the 7-day return at 4.69%. While the daily trend showcases a lateral shift, the rising influence of sellers is posing a threat to a sharp pulldown. Will this result in a downfall in Bitcoin under the $90,000 mark, or is the uptrend inevitable?
Bitcoin Analysis Crucial Crossroads at $97k
In the daily chart, the BTC price trend showcases high volatility near the $100,000 mark. Over the past three days, the BTC price has fluctuated multiple times near the $100,000 level.
Currently, the intraday candle showcases higher price rejection and hints at a bearish continuation after the 3.62% drop last night. The lower support for BTC price remains the content of the 100-day simple moving average and the local support trendline.
While the BTC price faces opposition from the 50-day simple moving average, the MACD indicator reveals a bearish trend with a surge of negative histograms. Hence, the technical indicators signal a growing sell pressure in Bitcoin. However, the growing institutional support and entry of whales hint at an optimistic outcome.
Blackrock Drives the Bitcoin ETFs Rally
On February 4, the US-spot Bitcoin ETFs recorded a massive inflow of $340.82 million, driving the bullish trend. BlackRock acquired nearly $250 million worth of BTC, with ARK and 21Shares acquiring $56.12 million.
Grayscale and Bitwise acquired $19.54 million and $16.11 million, respectively, totaling four ETFs recording a positive inflow. However, with none of the ETFs recording an outflow, eight of the three institutions recorded a net zero flow.
Surprisingly, despite a cumulative net outflow of $21.86 billion, Grayscale is gradually returning to its bullish stance on Bitcoin.
Historic Whale Goes Long on WBTC
With the institutions, a whale has recently spent 38,488 SOL tokens to purchase wrapped Bitcoin. The whale spent nearly $7.94 million worth of SOL to purchase 81 WBTC.
The average price of the purchase remains at $98,062, reflecting the whale’s interest to buy the dip. Previously, this whale has proven his mettle by making a profit of $4.04 million on the AI16Z token. With a proven record, is the whale’s optimism hinting at an upcoming bull run in Bitcoin?
Bitcoin Price Targets
Despite the BTC price action analysis reflecting a crucial crossroad, the rising institutional optimism and whale support hint at a positive recovery in Bitcoin. Hence, the BTC price will likely reclaim the $100,000 mark to challenge the local resistance trendline near $106,000.
On the flip side, the 100-day SMA line near $94,500 will be a crucial dynamic support for Bitcoin.
