Bitcoin is trying to consolidate its position above $ 32,000 after experiencing high volatility for a few days after a $ 5,000 price drop. The main reason for the price fluctuation is cited as Asian whales releasing most of their bitcoin assets to stock exchanges and then creating a crypto-based buying spree after the US markets opened right after the Asian market.

 

 

Asian and US markets increase Bitcoin volatility

The current selling and buying spree between the Asian and US markets contributes to the high volatility observed over the past few days. The same pattern has become a little sharper, with 1882 BTC worth $ 60 million today sent to the South Korean stock exchange Bithumb an hour ago.

Bitcoin’s price of over $ 34,000 has caused heavy traffic and malfunctions in a number of crypto exchanges. The high demand for BTC at its current price and billions of spot rallies has led to lucrative sales of BTC on various exchanges, especially in South Korea.

This is one of the main reasons behind whales selling large amounts of BTC to make the most profit.

 

Estimated leverage gives tips

The Estimated Leverage Ratio (ELR) on various exchanges saw a decline today initiated by futures traders due to high volatility.

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ELR shows the average of leverage used by traders in the exchange. This information measures whether traders are taking high risk or low risk. If the ELR value is higher than in the last few days, it shows that investors are very confident in their positions.

CryptoQuant Ki-Young Ju believes the ELR is a better indicator of market outlook and trader sentiment than the popular index of fear and greed.

Bitcoin in the ongoing bull rally has managed to transform most of the critical resistance of $ 24k, $ 27k and $ 30k into strong support, and currently the top cryptocurrency is trying to do the same for $ 32,000.

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