The market-wide uncertainty and bearish selling accompanied by high liquidations does not appear to be over yet. And now, new Bitcoin whales will likely push volatility even further.
CryptoQuant CEO Ki Young Ju shared the unrealized profit ratio chart for new Bitcoin whales, which just turned into a loss zone, in an X article on Tuesday, October 14.
According to the data, new Bitcoin whales began suffering unrealized losses as the asset plunged from its all-time high of $126,198. “Volatility is coming,” Young Ju wrote.
The CEO of CryptoQuant claimed that the indicator cannot predict the next market move. In June and July 2021, the red ratio of unrealized profits for new Bitcoin whales triggered stronger accumulation, which pushed the BTC price above an ATH of $68,000.
In February 2022, Bitcoin and the broader crypto market saw a sharp decline after the indicator went “underwater.”
Bitcoin is in a downward spiral amid expectations of high volatility. BTC fell to $111,569 earlier today on October 14.
The sale comes as U.S.-based BTC spot exchange-traded funds saw a net outflow of $326.4 million on Oct. 13, according to data from Farside Investors. Outflows came mainly from GBTC, BITB and FBTC, while BlackRock’s IBIT saw an inflow of $60.4 million.
Last week, BTC-based investment products generated a net inflow of $2.71 billion.
Spot Ethereum ETFs saw a larger net outflow of $428.5 million, led by the $310.1 million sale of ETHA. ETH also fell 4% to $3,990.
On October 12, Binance saw an inflow of USDT of around $1.4 billion, which ultimately gave bullish momentum to the market. However, over the past 24 hours, the largest cryptocurrency exchange saw a net outflow of just over 190 million USDT, according to CoinGlass data.
When stablecoins leave centralized exchanges, it typically means market participants experience fear, uncertainty, and doubt. The negative sentiment would therefore lead to market-wide sell-offs.
Read original story New Bitcoin whales are ‘underwater’: Analyst expects high volatility by Wahid Pessarlay on Coinspeaker.com
