The cryptocurrency market is dominated by the major cryptocurrency Bitcoin ($BTC), below the key support level of $60,000.
Bitcoin has experienced a weekly decline of around 4.6% and is struggling to maintain just above this psychological threshold, according to data from analytics platform Santiment. However, prices have occasionally dipped below $60,000, leading to bearish sentiment on social media.
In response to the market’s sharp downturn, the community has targeted Michael Saylor and his company MicroStrategy (now Strategy), which holds large amounts of Bitcoin. The fact that Bitcoin’s price has lost more than 50% of its value since its peak of $126,000 in October is wearing down investors’ patience.
Shareholders and law firms are preparing to begin legal proceedings after MicroStrategy (MSTR) and Strategy (STRC) shares plummeted. Saylor and his company reportedly said:
- By making Bitcoin investments appear much more profitable than they actually are,
- For failing to properly warn investors about the new accounting rules and the huge paper losses that Bitcoin’s high volatility could result in.
- He is accused of making misleading statements in violation of U.S. securities laws.
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Santiment analysts noted that this anger within the community could be a “scapegoat search” (FUD) stemming from the market downturn, with the issue being one of the top three most talked about topics on social media throughout this week.
The on-chain chart shared by Santiment reveals a rather interesting and dangerous paradox in the market.
- A small wallet containing 0.01 $BTC The following companies have increased their share of total Bitcoin supply by 1% over the past 7 weeks. While the “$50,000” scenario is being discussed on social media, small investors see any dip as a buying opportunity.
- Large institutional wallet that can accommodate $10 to $10,000 $BTCthe main driver of the market, approximately 43,241 pieces were sold. $BTC In the past 7 weeks. The decline in these wallets reached 48,000 especially in the last 10 days. $BTC.
Santiment analysts issued the following warning about the current situation:
“Usually the scenario we like to see in the market is that small investors panic and big whales buy at the bottom. But now the opposite is happening: small investors are buying and big wallets are selling. This selling pressure from big wallets worries me quite a bit.”
Additionally, projects such as Decentraland (MANA), Chainlink (LINK), Immutable X (IMX), and Shiba Inu (SHIB) also saw the most active addresses and whale movement activity over the past 90 days.
*This is not investment advice.
