Traders cashed out 14,600 Bitcoin worth $1.2 billion last week, sparking concerns of a near-term price decline.
Bitcoin traders realized profits at the highest rate since early December last week, offloading 14,600 Bitcoin valued at nearly $1.2 billion on May 4. The spike in profit-taking aligns with historical patterns where such rallies in bear markets precede local price peaks, raising concerns of a pullback.
Current price support for Bitcoin is estimated at $70,000, representing the average cost basis for short-term traders. This level has previously acted as resistance-turned-support during bear markets, where unrealized profits compress, reducing selling pressure.
Analysts remain divided, with some forecasting a potential rise to $90,000 if U.S. legislation advances, while others see $126,000 as inevitable amid inflationary pressures from geopolitical tensions.