During this time, high volume candles appeared on the derivatives exchanges in connection with the fall in Bitcoin prices, noted Willy Woo.

Those expecting another speculative decline in Bitcoin (BTC) are looking in the wrong place, suggests one of the industry’s most popular analysts.

In a Twitter discussion on December 20, Willy Woo, creator of on-chain data resource Woobull, said popular retail exchanges will no longer raise the price of BTC.

US retail remains calm across the board

Woo debated the new rate of decline with veteran trader Peter Brandt, a well-respected commentator who has called Bitcoin price its low in recent years.

Brandt argued that the price spike that came with the price drop was absent in December when compared to previous episodes. The “real” speculative phase has not yet occurred.

In response, Woo argued that speculative derivatives traders rose to $ 41,800 earlier this month while retail investors continued to hold BTC. Hence, volume data from Coinbase or any other trading platform does not serve as a suitable indicator of an impending decline.

“This is the Coinbase chart, the selling pressure arose from the reduction in leverage on the futures market and on the Asian spot exchanges,” he wrote.

“Overall, there are still no signs of a sell-off in the chain (hold HODLers, speculative investors take profits). Really a consolidation in the midst of weak December liquidity. “

The implication of the crowd

Main floor in $ BTC happened with panic surrender

Did that (still ???) happen

Consider ??? pic.twitter.com/dYmDNADxuP

– Peter Brandt (@PeterLBrandt) December 20, 2021

Brandt seems to recognize the nuance.

Open interest rises higher

As Cointelegraph reported, retailers have been shopping in the past few weeks, as evidenced by the wallets that have added 1 BTC or less to their balance.

Related: Bitcoin hovers below $ 46,000 as 1 BTC crosses 800,000 Turkish Lira for the first time

As the whales wait for their time, derivatives appear to be regaining confidence, and the open interest in Bitcoin futures has been rising steadily since the fall.

Meanwhile, Grayscale Bitcoin Belief is trading at the largest discount to net asset value in history this week.