Bitcoin’s (BTC) price has steadfastly defended the critical support level of around $27k throughout the early London session on Wednesday. The leading digital asset finds itself in a precarious position, poised to either embark on a bullish breakout toward $32k or face a potential capitulation below $25k in the weeks ahead. Nonetheless, most cryptocurrency experts agree that Bitcoin’s price may be primed for a bullish breakout, supported by a noticeable increase in address activities.<\/p>\n
However, the Bitcoin bulls must contend with the substantial selling pressure resulting from daily and weekly death crosses between the 50 and 200 Moving Averages (MA). Nevertheless, the substantial demand for Bitcoin from institutional investors remains a significant bullish factor, particularly in light of the heightened regulatory clarity surrounding cryptocurrencies in various jurisdictions.<\/p>\n
Binance, being the leading cryptocurrency exchange, wields considerable influence over Bitcoin’s price dynamics. Over the past 30 days, Bitcoin’s supply on Binance has declined by approximately 21,403 coins, equating to roughly 4.41 percent. Consequently, as of Wednesday, Binance held approximately 543k Bitcoins, making it the largest entity holding Bitcoin for its clients.<\/p>\n
The decrease in Bitcoin’s supply on Binance indicates that investors may transfer their assets to non-custodial and cold wallets, anticipating a potential future bull market. While not a dominant factor in determining Bitcoin’s price action, changes in supply can aid investors in gauging the broader market sentiment.<\/p>\n
Furthermore, a sustained decline in Binance’s Bitcoin supply suggests that more investors are adopting a bullish outlook and are not inclined to sell their holdings at current price levels.<\/p>\n