A rebound above $ 50,000 was a surprise to most owners, according to psychosocial indicators like the Fear and Greed Index, but large investors and traders have provided enough purchasing power to successfully get Bitcoin across the strong support zone.

Indicator data

According to the indicator, the large dumping of the coin took place at the end of the week when the market sell-off was just beginning and a new phase of local accumulation entered as the price fell below $ 45,000, which resulted in a quick rebound to $ 49,000.

???? #Bitcoin bounced back to $ 50.1,000 on Monday and whale traders fell to perfect levels. From the $ 43.5,000 dumping period, addresses hold 100 to 10,000 $ BTC accumulated 67k $ BTC after dumping the same amount before the discount. https://t.co/TcTSKBy2v7 pic.twitter.com/JxZL7nGVwR

– mood (@santimentfeed) December 6, 2021

Another profit point was noted from late October to early November when Bitcoin price traded in a range and saw several failed rallies.

After the payout period ended in early November, traders continued to sell their holdings, with Bitcoin losing around 15% of its value in less than two weeks. The sell-off then intensified after whales lost around 100,000 coins in retail stores prior to the weekend.

The market recovery

The market faced a rebound as holdings of wallets between 100 and 10,000 BTC bought back their holdings, bringing them almost entirely back to pre-dumping levels.

Aside from whales changing their minds about Bitcoin’s future moves, market and sentiment indicators are suggesting that Bitcoin is trading in an “oversold” zone, suggesting that wealth needs must cool before other important steps are taken.