Bitcoin Whales Buy The Dip Amid $2.5B Liquidations

Markets 2026-02-04 10:42

Bitcoin Whales Buy The Dip Amid .5B Liquidations

Bitcoin (BTC) whales are accumulating after a weekend sell-off triggered more than $2.5 billion in long liquidations, even as the price remains capped below resistance and sentiment indicators continue to show extreme fear among investors.

What Happened: Weekend Liquidation Recovery

The decline pushed prices to a low near $74,700 before strong buying emerged around the $74,800 support zone. Long downside wicks on the chart signaled aggressive accumulation at lower levels.

Trading volume normalized as the initial panic subsided. RSI rebounded toward the low-50s, while MACD bars compressed to indicate fading selling pressure.

Upside remains limited below the $78,000–$80,000 resistance zone. Until that level breaks, the move reflects recovery from liquidation stress rather than a confirmed trend reversal.

Also Read: Dogecoin Rally Hits Wall At $0.1065 Level

Why It Matters: Whale Confidence Amid Retail Fear

Large holders are accumulating during the dip. The number of whale entities holding 1,000 BTC or more continues to rise, suggesting they view the $74,000–$75,000 range as a buying opportunity.

Retail participants are reducing exposure through both forced liquidations and cautious profit-taking. The Fear and Greed Index fell to 14, placing sentiment deep in extreme fear territory.

That caution increased after Kevin Warsh was nominated to the Federal Reserve, a development markets interpreted as reinforcing a hawkish policy outlook. For a sustained recovery, investors should watch for sentiment to improve, volatility to ease, and Bitcoin to hold key support levels alongside stronger spot demand.

Read Next: Two ETH Whales Offload $371M To Repay Aave Loans

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This content is for informational purposes only and does not constitute investment advice.

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