Bitcoin’s bullish setup could weaken if prices fall below roughly $79,000.
Bitcoin exchange outflows have surged ahead of crucial macroeconomic events. Santiment found that 14,942 BTC left trading platforms on net.
The analytics firm said this was the largest daily net outflow in five weeks.
Encouraging Signal
The move comes before the Federal Reserve’s decision on Wednesday and GDP and PCE data on Thursday. Santiment explained that holders moving Bitcoin off exchanges could indicate less immediate selling pressure. However, the latest data also brings September’s outflow into focus.
On September 22, 17,755 BTC left exchanges. Bitcoin climbed above $86,600 shortly after that outflow. The latest figure is lower, but both moves involve large amounts of coins leaving exchanges.
Santiment said $80,000 is the key level to watch during the coming volatility. Holding above it could support a rebound toward $82,500 to $84,000. On the other hand, a decisive drop below roughly $79,000 would weaken the bullish setup, while reclaiming $82,500 after the data releases would offer stronger confirmation.
Meanwhile, crypto analyst Sykodelic believes that Bitcoin could be gearing up for another major rally after reclaiming two key weekly indicators: the 50-week simple moving average and the Supertrend. According to Sykodelic, this setup has appeared several times in the crypto asset’s history, including 2015, 2019, 2020, and 2023. Each time, Bitcoin went on to see a major expansion. The analyst also found that the asset has never fallen back below the price where it reclaimed both levels.
Dual Pressure
Institutional demand for Bitcoin looks weak again. US-listed spot BTC ETFs saw $4.5 billion in outflows in June before attracting a total of $6.2 billion in August and September. Despite brief inflows, October has turned negative, as these funds have recorded over $26 million in net outflows so far.
You may also like:
On the corporate side of things, MARA Holdings drew attention after transferring 1,000 BTC worth around $80.19 million to BitGo in a single transaction earlier this week. The move sparked speculation that the Bitcoin mining firm could be preparing to sell its holdings. On-chain tracker Lookonchain flagged the transfer, while Hupzy warned that such a large move could add selling pressure to the market. However, the transfer alone does not confirm a sale.