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Bitcoin, the cryptocurrency often referred to as \u2018digital gold\u2019, has been on a roller-coaster ride lately. Over the past decade, Bitcoin has transformed from an obscure digital token into an economic powerhouse, drawing attention from retail investors to global financial institutions. <\/span><\/p>\n However, as recently observed over the past 24 hours, the asset\u2019s resistance<\/a> is being tested as a report<\/a> from Santiment reveals chances of it plunging below the critical $26,000 mark.<\/span><\/p>\n Whale activity, or large-scale investors<\/a>, has historically played a pivotal role in determining the direction of any crypto asset, and currently, Bitcoin is not an exception. Blockchain intelligence firm, Santiment, recently shed light on this phenomenon via a post on X (formerly known as Twitter).<\/span><\/p>\n Related Reading: Bitcoin Speculators Retreat As Long-Term Holders Double Down Since $69,000 Peak<\/a><\/p>\n According to the firm, the rapid price decline of Bitcoin might have been influenced by heightened whale transaction activity. And despite the substantial loss BTC has suffered in value over the past day, Santiment noted \u201cthe dust has far from settled.\u201d<\/span><\/p>\n This statement in an actual sense means Bitcoin\u2019s price decline might just be starting, as according to Santiment, \u201cwhales are very active on this dump\u201d and \u201cthe amount of large wallets is not falling.\u201d<\/span><\/p>\n The Blockchain intelligence firm further revealed that the surge in large transactions had commenced even before the significant market drop, hinting at the possibility of a sustained price drop.<\/span><\/p>\n \ud83d\udc33 The dust has far from settled after #crypto<\/a> markets had one of its sharpest price drops of 2023. We are seeing a large amount of $1M+ $BTC<\/a> transactions, indicating whales are very active on this dump. But the amount of large wallets is not falling. \ud83d\udc4d https:\/\/t.co\/WtXYUPdFOf<\/a> pic.twitter.com\/gdrbUD1wFO<\/a><\/p>\n \u2014 Santiment (@santimentfeed) August 18, 2023<\/a><\/p>\n<\/blockquote>\n Given the fundamentals pointed out by Santiment, Bitcoin could see a further plummet<\/a> potentially dropping it below the $26,000 mark. Moreover, from a technical perspective, such a price move<\/span>\u00a0may not actually be far from happening.<\/p>\n Looking at Bitcoin\u2019s chart on the 1-day timeframe, the asset has a two-way movement of taking out liquidity which is the upside and downside. However, the likelihood of tapping into the downside liquidity appears more convincing.<\/p>\n Given the current market trajectory, which leans bearish, each significant price movement typically correlates with liquidation efforts. As the market currently trends downwards<\/a>, the most immediate liquidity target seems to be the wick beneath the $26,000 zone.<\/span><\/p>\n To clarify, a wick\u00a0refers to the thin line\/vertical line above or below the main body of a candlestick. The wick represents the highest and lowest prices of an asset during a specific time frame, while the main body of the candlestick indicates the opening and closing prices<\/span><\/p>\nWhale Activity Driving Bitcoin Price Movement<\/h2>\n
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BTC Plunge Below $26,000 Imminent<\/span>?<\/h2>\n