BTC Whales Are Gearing Up for the Incoming Interest Rate Decision
Lookonchain, the blockchain tracking platform, revealed in a tweet earlier today that a Bitcoin (BTC) whale address that had been dormant for 11 years was activated over the past 24 hours. According to the post, the address transferred its entire balance of 1,037.42 BTC, worth $37.8 million, to a new address.
The tweet added that the whale had received 1,037.42 BTC on 11 April 2021. At the time of this transfer, the price of BTC was $4.92 – valuing the transfer at $5,107.
This was not the only BTC whale transaction that was executed throughout the past day. According to a tweet published by Whale Alert earlier today, 1,890 BTC, estimated to be worth $56,540,282, was sent from an unknown wallet to Coinbase in the past 12 hours.
With the upcoming Fed interest rate decision being released this coming Wednesday, smart money investors may be preparing to take advantage of the announcement, hence the recent BTC whale transactions. Should the interest rate decision come in worse than expected, BTC’s price may drop in the 48 hours after the announcement.
From a technical standpoint, BTC’s price had fallen below the 20-day EMA line, at around $30,062, last week Monday, and has failed to recover back above the technical indicator ever since. The leading crypto had also been trading below the psychological $30K mark during this period, and continued to trade below the significant price point at press time.
Should investors react negatively to the interest rate decision this week, BTC’s price may retest the $29,075 support in the upcoming week. On the other hand, a positive reaction to the announcement may result in the cryptocurrency rising above the $30K resistance as well as the next major level at $30,815 in the following couple of days.
