According to data from CryptoQuant, institutional investors have moved about $800 million worth of Bitcoin from Coinbase. However, Bitcoin miners have stopped shorting and started accumulating in expectation of a coming rally, Glassnode reports.
In the CryptoQuant report, institutions bought and transferred 14,600 BTC worth about $806,723,000 from Coinbase. Also, another data from Glassnode suggests that Bitcoin miners have halted dumping their holdings and started accumulating.
Before the large BTC transfer by institutions yesterday, Bitcoin dipped to a low of $53,000. However, BTC has traded up by 4.27% since this morning and is currently hovering around $56,267 leveraging on Tesla’s adoption of the crypto asset has a payment method.
Several reports had earlier suggested that the Bitcoin bullish season was about to end due to a drop in the number of whale addresses. This was confirmed by Glassnode, after it claimed that the bullish market has entered its final stages. Although, this is not always indicative of a bearish market but it usually suggests the end of a bullish trend.
Miners Accumulating BTC in Anticipation of a Rally
In retrospect, institutions made this same move on Feb 27 and March 5 when large amounts of Bitcoin were moved out of Coinbase. During these periods, Bitcoin was trading below $50,000. A Glassnode report reveals that miners have also halted BTC shorting and started accumulating.
Lex Moskovski, the CEO at Moskovski Capital said that all these moves are in anticipation of a coming rally. However, Bitcoin is still trading around $56,000 after it recovered from an intraday low of 53,393.
This move by institutions and miners raises a question about whether BTC is indeed in its final stages as Glassnode reported or the market will remain bullish for as long as possible. Another side to this is whether the coming rally will be the last before a bearish market.