New data from Whalemap suggests that in order to maintain bullish momentum Bitcoin price needs to hold above the 14,914 level. Whale clusters, like the bubbles shown on the chart below, form when highnetworth investors purchase Bitcoin and do not move them. This indicates that whales accumulated BTC at that level and suggests that it will likely remain as a support area in the event of a correction.
As such, in the near term, it is crucial for Bitcoin to remain above 14,914 for a prolonged period. It would signify consolidation under a multiyear resistance at 16,000 and stability above a major support level. Throughout the past week, Bitcoin has seen unusual price action and been quite volatile in a broad range.
From Nov. 6 to Nov. 9, BTC tested the 16,000 level twice and fell to as low as 14,350. This shortterm volatility was likely connected a range of macro events, including the contested U.S. election results. There have been a number of big risks in the market since early November. The election risk noticeably benefited Bitcoin as investors sought out safehaven assets. Then, Pfizers vaccine breakthrough became an unexpected variable, causing Bitcoin and gold to plunge.
Despite these uncertainties, Bitcoin has remained comfortably above 13,600, a level which Whalemap analysts pinpointed. They wrote New levels that formed over the weekend! If we start ranging this should be a good guide to what the levels should be. Price should stay above 13,600 to continue the…