Bitcoin Taker Sell Volume Plunges: Is BTC Gearing Up for a Major Rebound?

Samuel Edyme

4 months ago

3 mins read

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Bitcoin has experienced a rollercoaster start to the week, briefly dipping below the $100,000 mark in the early hours of Monday before recovering slightly. This correction came after Bitcoin achieved a new all-time high above $109,000 last week, marking a milestone in the cryptocurrency’s ongoing bull run.

At the time of writing, Bitcoin’s price has climbed back above $100,000, leaving investors speculating whether the asset will resume its upward trajectory or enter a prolonged consolidation phase.

Amid this, Burak Kesmeci, a contributor to CryptoQuant’s QuickTake Platform. Kesmeci recently highlighted intriguing trends in Bitcoin’s trading volume on Binance, suggesting that current selling pressure may be “easing.”

Taker Sell Volume Shows Signs of Stabilization

Kesmeci’s analysis focuses on the Taker Sell Volume metric on Binance, which has shown a noticeable uptick in recent sessions. Historically, Taker Sell Volume spikes have signaled heightened selling activity, eventually giving way to buying momentum.

Kesmeci notes that these episodes often coincide with local bottoms as sell orders are completed and new buy orders start to flow in. However, in the past week, hourly data shows a pattern of lower highs in Taker Sell Volume, indicating a gradual decline in selling pressure.

Bitcoin Taker Sell Volume. | Source: CryptoQuant

This trend suggests that as major sell orders are fulfilled, the influence of sellers is waning, potentially paving the way for renewed buying interest. According to the analyst, if this pattern holds, Bitcoin could be poised for another rally, contingent on sustained buyer engagement at current price levels.

What The Stablecoin Market Current Stance Signal For Bitcoin

While Kesmeci’s analysis offers a promising outlook, other factors contribute to a more cautious market environment. A separate post by analyst Avocado Onchain highlights the shifting dynamics of stablecoin flows.

USDC deposits into exchanges have surged, potentially signaling increased interest in digital assets. However, this influx coincided with Bitcoin’s price falling back below $100,000.

Bitcoin Coinbase premium gap. | Source: CryptoQuant

Avocado also points to a negative Coinbase Premium, a metric that reflects US-led buying momentum. With this indicator showing weakness, the expected strong support from US investors has yet to materialize.

Meanwhile, market sentiment has been influenced by speculation over a potential bubble in US AI tech stocks, as well as concerns about broader corrections in risk assets.

Under these conditions, Avocado highlighted that Bitcoin may face an extended consolidation period before resuming its upward climb. The analyst wrote:

Bitcoin is more likely to undergo a substantial consolidation period before showing signs of recovery, rather than rebounding in the short term. Thus, it is important to approach the market with a long-term perspective rather than a short-term one. I remain optimistic about Bitcoin셲 long-term outlook.

Featured image created with DALL-E, Chart from TradingView

Samuel Edyme

Meet Samuel Edyme, Nickname - HIM-buktu. A web3 content writer, journalist, and aspiring trader, Edyme is as versatile as they come. With a knack for words and a nose for trends, he has penned pieces for numerous industry player, including AMBCrypto, Blockchain.News, and Blockchain Reporter, among others.

Edyme’s foray into the crypto universe is nothing short of cinematic. His journey began not with a triumphant investment, but with a scam. Yes, a Ponzi scheme that used crypto as payment roped him in. Rather than retreating, he emerged wiser and more determined, channeling his experience into over three years of insightful market analysis.

Before becoming the voice of reason in the crypto space, Edyme was the quintessential crypto degen. He aped into anything that promised a quick buck, anything ape-able, learning the ropes the hard way. These hands-on experience through major market events—like the Terra Luna crash, the wave of bankruptcies in crypto firms, the notorious FTX collapse, and even CZ’s arrest—has honed his keen sense of market dynamics.

When he isn’t crafting engaging crypto content, you’ll find Edyme backtesting charts, studying both forex and synthetic indices. His dedication to mastering the art of trading is as relentless as his pursuit of the next big story. Away from his screens, he can be found in the gym, airpods in, working out and listening to his favorite artist, NF. Or maybe he’s catching some Z’s or scrolling through Elon Musk’s very own X platform—(oops, another screen activity, my bad…)

Well, being an introvert, Edyme thrives in the digital realm, preferring online interaction over offline encounters—(don’t judge, that’s just how he is built). His determination is quite unwavering to be honest, and he embodies the philosophy of continuous improvement, or “kaizen,” striving to be 1% better every day. His mantras, “God knows best” and “Everything is still on track,” reflect his resilient outlook and how he lives his life.

In a nutshell, Samuel Edyme was born efficient, driven by ambition, and perhaps a touch fierce. He’s neither artistic nor unrealistic, and certainly not chauvinistic. Think of him as Bruce Willis in a train wreck—unflappable. Edyme is like trading in your car for a jet—bold. He’s the guy who’d ask his boss for a pay cut just to prove a point—(uhhh…). He is like watching your kid take his first steps. Imagine Bill Gates struggling with rent—okay, maybe that’s a stretch, but you get the idea, yeah. Unbelievable? Yes. Inconceivable? Perhaps.

Edyme sees himself as a fairly reasonable guy, albeit a bit stubborn. Normal to you is not to him. He is not the one to take the easy road, and why would he? That’s just not the way he roll. He has these favorite lyrics from NF’s “Clouds” that resonate deeply with him: “What you think's probably unfeasible, I've done already a hundredfold.”

PS—Edyme is HIM. HIM-buktu. Him-mulation. Him-Kardashian. Himon and Pumba. He even had his DNA tested, and guess what? He’s 100% Him-alayan. Screw it, he ate the opp.

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