Crypto pundit Ardizor has alleged that several crypto firms appear to be dumping Bitcoin, which is why the BTC price keeps crashing. The leading crypto had crashed over the weekend but is now recovering on hopes of a U.S.-Iran deal.
Why The BTC Price Keeps Crashing
In an X post, Ardizor stated that the BTC price was dumping because crypto exchanges Binance, Coinbase, and Bybit, along with whales and Wintermute, were selling millions of BTC. He claimed that they have sold over $2 billion worth of BTC and further alleged that it was a “pure, coordinated dump,” which usually comes after the U.S. market opens.
The pundit cited on-chain flows from these crypto exchanges’ hot wallets as evidence that they were dumping Bitcoin. The latest dump in the BTC price came over the weekend, with the leading crypto falling below $75,000 after the SEC was reported to have delayed its decision on tokenized stocks due to regulatory concerns. Bitcoin also dropped as market participants further priced in the possibility of a Fed rate hike this year.
However, the BTC price is recovering again following the crash below $75,000, on the back of optimism that the U.S. and Iran may be nearing a deal to end the war. U.S. President Donald Trump had said over the weekend that the draft deal had been largely negotiated, signaling that they could announce a peace deal soon.
Furthermore, the BTC price and the broader crypto market are also recovering on the back of the decline in oil prices. Oil prices have dropped after Trump said the Strait of Hormuz will reopen under this deal, a move that could also ease inflationary pressures.
What’s Next For Bitcoin
Crypto analyst Ted Pillows noted that the BTC price closed above $75,000, and now the key zone to reclaim is between $77,500 and $78,000, with a rally towards the psychological $80,000 zone. He warned that if Bitcoin fails to hold above $78,000, it will likely sweep the $75,000 zone again.
Meanwhile, crypto analyst Max noted that many low-leverage long liquidations were wiped out on the BTC price decline below $75,000. He stated that this now leaves only one decent cluster below, which will get swept if the price takes out the previous low at $74,200. At the same time, he pointed to another cluster around the $80,000 mark.
Related Reading: Bitcoin Price Breaks 14-Year Support For The First Time In History, Analyst Predicts $50,000 Target
The analyst acknowledged that a retest of the $80,000 range was still possible from a liquidity perspective, but that the current market structure favors another sweep lower. In line with this, Max said he expects the liquidity below to be taken out this week, unless the BTC price prints a higher high, invalidating the bearish structure.
At the time of writing, the Bitcoin price is trading at around $77,300, up in the last 24 hours, according to data from CoinMarketCap.
Featured image from Getty Images, chart from Tradingview.com
