Bitcoin [BTC] price breaks short resistance, drives 13% of supply into profit

• Whales’ transaction count for BTC has been on the increase in recent days.
• 13% of BTC circulating supply is in profit due to a current price move.

The price of Bitcoin [BTC] rose over the past five days from 8 January to 12 January. When the market closed on 12 January, the price had increased by over 5%.

Read Bitcoin’s [BTC] Price Prediction 2023-2024

BTC was also making a steady push toward the $19,000 mark at press time. The actions of whales may have caused the recent upswings, and the current surge has turned a portion of the BTC supply into a profit. 

BTC sees a surge of over 10%, but…

Bitcoin’s price rose to a range of $18,800 after a rebound that began while it was trading around the $15,000 mark. When BTC’s price move was examined on a daily timeframe, it became clear that the coin had appreciated by almost 11%.

Further data analysis revealed that BTC had overcome the initial resistance provided by the short Moving Average (yellow line). If a rally persists, it could also cross the resistance provided by the long Moving Average (blue line) and enter the $19,000 price area.

Source: TradingView

Additionally, the asset had entered a bull run due to the present upswing, as shown by the Relative Strength Index (RSI) position. The RSI line indicated overbought conditions in the daily period, rising over 75.

The current RSI reading implies a reversal in price was on the cards. As a result, the value of Bitcoin may go down in the next few days.

The whales factor

Whales may have caused the recent significant increase in BTC’s price. A chart from Santiment showed that whale transaction activity increased for the first time in two months – over 1,700 Bitcoin transactions worth over $1 million were made daily.

The last time the whales conducted this many deals was in November 2022. If the volume of transactions remains this high, BTC may surpass the $19,000 price barrier soon.

Source: Santiment

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13% in profit as BTC rallies

The overall BTC circulating supply was over 19 billion, according to data from CoinMarketCap. Due to the price rise, 13% of this circulating supply has turned a profit.

The majority of the coins were purchased between $16,000 and less than the current price, according to CryptoQuant. The coins’ profit level would increase even further if the price increased.

Source: CryptoQuant

BTC’s prices may rise for a while following the release of the Consumer Price Index (CPI) on 12 January, while the inflation and interest rates decline. According to historical price data, a real bull run may not begin until after a subsequent market drop.