As seen above, Bitcoin recorded 5,095 whale transactions worth at least $1 million each on November 12. This represents a 396% increase from the monthly low of 1,026 whale transactions recorded on November 2.
When a spike in whale transactions coincides with a price uptick as observed in the Bitcoin markets this week, strategic investors often interpret this as a bullish signal for two main reasons.
- Increased Institutional Confidence: A surge in large transactions suggests that sophisticate institutional or high-net-worth investors are accumulating Bitcoin. Trump’s latest statements may have boosted Bitcoin’s appeal among institutional investors, possibly as a hedge against traditional markets. If whale activity remains elevated, Bitcoin could experience continued upward momentum.
- Sell-pressure Absorption: When whales execute large volume orders during a rally, the they absorb sell-side pressure from short-term traders booking profits. This absorption effect often tightens short-term supply dynamics, consequently intensifying the upward price volatility.
In summary, the correlation between Trump’s latest statements and the 400% surge in whale demand, suggests the D.O.G.E proposal may have boosted Bitcoin’s appeal among corporate investors.
If whale activity remains elevated, Bitcoin price rally could potentially rise toward $100,000 in the days ahead.
Bitcoin price forecast: $100K rally in sight
Bitcoin is trading at $91,500 on Binance, at the time of publication on Nov 14. With the Volume Weighted Average Price (VWAP) indicator, currently at $90,743, The VWAP typically offers strong short-term support, as it represents the average price where major market players entered or exited positions.
As long as Bitcoin’s price holds above the VWAP at $90,743, it indicates that bullish momentum is intact, making it a pivotal support level.
Should BTC close above the $90,743 VWAP, bulls could gain regroup for another leg-up towards $100,000 in the days ahead.
