Crypto News– A series of transfers totaling $1.3 billion in USDC to Coinbase on Thursday caught the attention of market watchers, potentially signaling a significant buy opportunity for Bitcoin and Ether.
Is it a ‘massive buy’ sign? Crypto whales shift 1.3 billion Dollars to Coinbase
According to crypto trader Blockchain Mane, the movement of USDC to exchanges is seen as a strong buy signal, reminiscent of the popular internet meme ‘money printer go brr.’ The transfers, ranging from $150 million to $350 million, occurred on April 25 at 08:15 UTC.
Traders typically interpret substantial deposits of stablecoins on exchanges as a bullish indicator, suggesting potential large buy orders on the horizon. Conversely, significant crypto deposits on exchanges may indicate a looming sell-off, prompting caution among traders anticipating a downturn. According to crypto commentator Lark Davis, also known as ‘The Crypto Lark,’ if the recent deposits indeed represent whale buying, especially at current prices, they could significantly impact the prices of the assets being purchased, likely limited to Bitcoin and Ethereum at this scale.
Davis also noted that whales might opt for limit orders instead of immediate asset purchases, thereby establishing stronger support levels for the cryptocurrencies they invest in.
A limit order will be placed, creating a buy wall that serves as a layer of price support for the assets.
Lark Davis
However, he cautioned that it is never definitive how these large transfers will impact the market.
On the other hand, Jung suggested that the market could experience a “positive shift” if a substantial amount of funds were to flow into a single crypto token, as “additional liquidity would likely help drive up the price of other cryptos.”
Nevertheless, he expressed skepticism that an investor would see the benefit of such a move due to the risks of overexposure.
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