Bitcoin Whales Buy the Dip, Signaling Potential $120k Breakout Rally

On December 18th, Wednesday, the crypto market witnessed a slight slowdown in recovery momentum as Bitcoin price reverted from the $108K barrier.

The crypto market witnessed a slight slowdown in recovery momentum on December 18th, Wednesday, as Bitcoin price pulled back from the $108K resistance. However, the pullback saw a surge in whale interest, indicating a ‘buy-the-dip’ sentiment among market participants. Will the post-correction rally hit the $120K milestone?

At press time, BTC price exchanged hands at $104,448, showcasing an intraday loss of 1.8%. Consecutively, the asset’s market cap amounted to $2.06 Trillion, while the 24-hour trading volume stood at $74 Million.

Key Highlights:

Whales Scoop Up $120M in BTC Amid Market Pullback

Amid the Bitcoin price pullback, three large whales have collectively purchased 1,153 BTC, valued at around $120 million. According to Lookonchain data, a whale wallet, bc1qkv…t44v, withdrew 501 BTC, worth $52.24 million, from Bitfinex earlier today.

Another whale, operating under address bc1pjq…sjpc, withdrew 551.5 BTC, valued at $57.28 million, from the Binance exchange.

While the third wallet, 1L7gnf…xeTs, withdrew 100 BTC, worth $10.42 million, from Binance. This same address withdrew a total of 1,418 BTC, approximately $148.78 million, from Binance over the last two days, highlighting a clear accumulation trend.

3 whales bought 1,153 $BTC($120M) after the $BTC price pullback.

bc1qkv…t44v withdrew 501 $BTC($52.24M) from #Bitfinex 30 minutes ago.

bc1pjq…sjpc withdrew 551.5 $BTC($57.28M) from #Binance in the past 2 hours.

1L7gnf…xeTs withdrew 100 $BTC($10.42M) from $Binance 1 hour… pic.twitter.com/FEyp8BvwI6

— Lookonchain (@lookonchain) December 18, 2024

This whale buying activity indicates that market participants continue to follow a ‘buy-the-dip’ sentiment, a characteristic of an established uptrend.

Bitcoin Price: Rising Channel Setup Signals Potential 5% Dip

A 4-chart chart analysis shows the Bitcoin price pulled back from the resistance trendline of a rising channel pattern. This chart setup intact since mid-November drives a sustained recovery within two trendlines acting as dynamic resistance and support.

The last two bearish reversals within the channel recorded a 9% loss before they could renew bullish momentum. With the current trading value of $104,400, the BTC price could plunge another 4-5% to seek support at the pattern’s lower trendline,

If the support holds, the buyers could rechallenge the overhead trendline to attempt a $120k breakout rally.

On the contrary, the RSI indicators reveal a bearish divergence with the price, marked by the formation of a lower high. This indicator of weakening bullish momentum could drive a breakdown below the pattern’s lower trendline for prolonged correction.

Also Read: Bitcoin Price Target $120K Breakout Amid Corporate Adoption & Whale Activity