Bitcoin in a Bull Trap? Santiment Says One Catalyst Could Trigger BTC To Resume Uptrend and Surge Higher
Prominent crypto analytics platform Santiment says one metric is indicating Bitcoin (BTC) may witness another leg up.
Santiment says that an increase in “bull trap” mentions on social media platforms is indicating a spread of fear, uncertainty and doubt (FUD) for the crypto market.
However, the market intelligence firm says that periods following increased FUD tend to lead to a bump in prices for crypto assets and that could mean Bitcoin is on the verge of heading higher after a rally pause.
“Traders are fearful that crypto markets may be in a bull trap at the moment. But while Bitcoin may have stopped its momentum for the time being, Ethereum and altcoins are blasting off once again. FUD could propel BTC to $50,000 if it increases.”
Source: Santiment/X
Bitcoin is trading for $44,198 at time of writing, up 1.7% in the last 24 hours.
Next, Santiment says Ethereum has more upside potential as the biggest crypto whales holding (ETH) off of exchanges increase their wallet sizes. According to the analytics firm, non-exchange Ethereum whales hold an all-time high of 54.6 million ETH worth $128.69 billion.
“Ethereum has scratched its way to $2,349, its highest level since June 2022. The long-term trend of top non-exchange whale wallets getting richer, and top exchange whale wallets having less sell-off power, is a promising combo for a continued climb.”
Source: Santiment/X
Ethereum is trading for $2,353 at time of writing, down slightly on the day.
Lastly, Santiment says that peer-to-peer payments network Litecoin could see a bullish trend reversal as wallets holding small amounts of LTC abruptly decline amid rising FUD.
“Approximately 199,000 wallets that held LTC 10 days ago, no longer hold any coins. This is the biggest drop in wallets since October 2022. LTC’s market value vs. BTC has dropped -55% in five months, but FUD and small wallets dropping could turn this around.”
Source: Santiment/X
Litecoin is trading for $78.21 at time of writing, up 5.55% in the last 24 hours.
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The post Bitcoin in a Bull Trap? Santiment Says One Catalyst Could Trigger BTC To Resume Uptrend and Surge Higher appeared first on Crypto News Australia.
Filed under: Bitcoin - @ December 9, 2023 4:02 pm