According to Zen2Invest, a specialist in on-chain analysis and monitoring the movements of large quantities of bitcoins (whales), a bearish phase could be in store for Bitcoin in the coming weeks. He advises investors to be patient and cautious, as the market could experience a lasting correction.
Zen2Invest points out that, despite the recent approval of the Ethereum ETF, significant on-chain activity has been detected on Bitcoin. It seems that Bitcoin has reached a local peak and could experience a significant decline in the coming days, with noticeable short-term fluctuations.
Market Scenarios
The analyst adds that, if the correction is not prolonged, a rise could follow, representing the last phase before a mid-cycle peak. Zen2Invest had already anticipated this scenario between April 2023 and January 2024, forecasting a peak before the next Halving, a hypothesis which now seems more likely.
The high number of transactions is indicative of a period of heavy spending on the market, exacerbated by the emotional reactions of small investors, which could accentuate volatility in the weeks ahead. Zen2Invest also cites strong whale activity, coinciding with the acceptance of the Ethereum ETF, and suggests that this could signal significant market movements.
Conclusion on Market activity
In addition, Zen2Invest refers to a recently activated medium-term on-chain indicator, traditionally associated with market peaks followed by corrections. This signal coincides with its forecast of a further decline, reinforcing the expectation of significant activity from the market’s major entities in the days ahead.
