Bitcoin News: $19 Million BTC Dump Fuels Concern of Dip to $65K

Key Insights:

• Bitcoin news reveals that a wallet linked to Jane Street moved 270 BTC (worth $19 million) to exchanges, triggering fears of a potential market sell-off.
• Analysts say $70K is the key support for Bitcoin price, and a break could push BTC down toward $65K.
• Despite the dip, technical indicators and on-chain data suggest long-term bullish momentum may still hold.

Latest Bitcoin news reveals a large market player is likely positioning itself for a potential BTC market sell. Jane Street, which has been accused in a lawsuit of insider trading that may have accelerated the 2022 Terra-Luna collapse, has moved 270 BTC worth $19 million to crypto exchanges.

The move has sparked concerns from traders and market onlookers. That’s because it aligns with recent price rejection after the rally to the $75,000 level. Could Jane Street continue operating even as it faces potential scrutiny from the U.S. Securities and Exchange Commission?

Bitcoin News: Jane Street Whale BTC Dump Sparks Sell-Off Fears

According to Lookonchain data, the transfers linked to Jane Street’s wallets saw BTC movement in huge chunks of 275 BTC ($19.55M) and 94.76 BTC ($6.74M) within just hours.

Data from Arkham Analytics further exposed this outflow. It showed repeated deposits spanning days to LMAX Digital and Bullish.com exchanges. Market spectators and analysts suspect the company is positioning for a sell-off amid its ongoing case concerning the Terra Luna collapse.

Bitcoin News | Source: Looksonchain

Moreover, the fact that the exchange deposit coincided with Bitcoin price facing rejection around the 50-day simple moving average (SMA) has fueled whispers of continued market manipulation.

Market analysts remained bullish despite fundamentals and technicals remaining high. Jane Street still shows signs of operations. Middle East tensions remain high, while analysts maintain BTC price will likely find support around $68K-$70K.

Bitcoin Price Tests $70K Support After Rejection at $75K Resistance

At the time of writing, Bitcoin dropped 5.4% to trade at $68,541 after facing rejection at the $74,000-$75,000 resistance zone. Analyst Ted Pillows made Bitcoin news after predicting that the $70,000 support would hold. However, if it doesn’t, BTC could drop slightly toward $66,000.

Bitcoin Price Analysis | Source: TedPillows (X)

Another top analyst, Ali Charts, also called the $70,000 level a potential strong support level during the current price dip. His analysis was based on a major cluster observed in the UTXO Realized Price Distribution (URPD) bar graph from Glassnode.

The graph showed a dense supply below $70,685, signaling strong buyer interest around that price. On the other hand, he noted that above $70,635, the bars began to thin out all the way up to $84,569, signaling light resistance.

Source: Ali charts

If the $70,000 support holds, Ali’s notes momentum could propel BTC toward $81,000. Conversely, a breach will open the door to $65,000, where another support line waits.

However, data from the 1-day CoinGlass Bitcoin Exchange Liquidity Map seemed to contradict these analyses. A large cluster of sell orders was identified around the $71,000 level while the price hovered around $68,000. This suggests that $71,0000-$72,000 is currently a resistance level for Bitcoin price.

Bitcoin Exchange Liquidation Map | Source: CoinGlass

Additionally, the cumulative short liquidation leverage ($2.5 billion) eclipsed the corresponding long ($507 million). It indicated that investor sentiment is bearish over the 24-hour period.

Nevertheless, on the 7-day timeframe, the difference ($4.57 Longs vs $4.38 billion Shorts) was much more balanced. It suggested the long-term sentiment in the market is mildly bullish and mostly uncertain. Traders are ready to swing with the direction BTC takes. This leaves the question: who is controlling the direction?

Additionally, the cumulative short liquidation leverage ($2.5 billion) eclipsed the corresponding long ($507 million). It signaled that the 24-hour sentiment is bearish among investors.

Bitcoin Price Must Break $75K SMA to Confirm Bullish Momentum

BTC price must break above the 50-day SMA at $75,320 to finally establish a bullish trend. Above that, the 200-day SMA at $95,904 will be the next hurdle.

Bitcoin Price Chart Analysis | Source: TradingView

At $68,661, Bitcoin price action is still on a higher low trend, which confirms the (short-term) uptrend. However, if over the next 9 hours (till 1-day candle closes) turn bearish and price closes below previous close, then Bitcoin might drop to around $60,000.

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