Bitcoin (BTC) “confirms” a bear market as whales continue to be sending considerable quantities of BTC to exchanges.

This is exactly what Ki Young Ju, CEO of the on-chain investigation service CryptoQuant, stated on 21. warning about the present “very insecure” condition of Bitcoin.

Too many whales are destroying the market?

While uploading a graph of this so-called “Whale Attraction Index” Ki recognized the first key whale sale on exchanges because July 2019.

At the moment, BTC / USD was only rising to $13,900 – a degree it will not return until October 2020.

So, in this historical context, Ki has made the argument that Bitcoin’s recent all-time high of $64,500 might have been a neighborhood high.

“I hate to say that, but it looks like the $ BTC bear market has been confirmed,” he wrote in the comments.

“Too many whales are sending $ BTC to exchanges.”

The data captured the interest of statistician Willy Woo, who discovered this week that inventory sellers have re-added for their own positions, bringing supply at costs just over $30,000.

The request for information on whale behaviour in 2017 led to a graph shows three distinct sets of coins being delivered to exchanges en masse. That did not stop BTC / USD from hitting an all-time high of $20,000 after this year, the Twitter user pointed out.

As it improved, Ki also confessed that it might not pay off to stay bearish for Bitcoin in the short term.

“To be clear, I do not expect my $ BTC downtrend to continue (maybe just weeks) as the market looks good in the long term in terms of supply / demand (e.g. stablecoin ratio (USD) and SSR)”, he added.

So do not get me wrong, I’m not saying it is over. “

China has made Puell do somersaults many times

As Cointelegraph reported, a variety of factors appear to be contributing to downward pressure on Bitcoin.

Related: Classic Bearish Chart Patterns For Bitcoin As BTC Price Drops To $ 32,000

Most notable is the seismic shift among miners after China launched a crackdown that halted operations in some of the world’s once most intense mining regions.

Commentators have described the event, which broadcast hash power to other countries, as the biggest “assault ” the network has ever seen.

The network’s hash rate has dropped significantly, but no more than 40% from its all-time high, while the price action still holds the $ 30,000 support.

CryptoQuant sees a corresponding decline in the Puell Multiple of Bitcoin, a classic indicator that brings the largest cryptocurrency closer to the “buy” territory.