The price of Bitcoin (BTC) has experienced significant fluctuations recently. After crossing the $87,000 mark earlier in the week, it dropped again and decreased to $81,332. Currently, Bitcoin is trading around $83,439, showing a 0.45% decrease compared to last week. These continuous fluctuations indicate market instability in digital currencies, affecting investors’ strategies and market sentiment. CryptoQuant’s analyst Maartunn examined the behavior of Binance exchange users and presented interesting results regarding the connection between traders’ behavior and Bitcoin fluctuations. According to his findings, over half of Binance users make a second deposit within 16 days of their first transaction. Around 10% of users make the second deposit within one day, showing their intense trading activity. Additionally, about one-third of users recharge their accounts by the seventh day. These statistics emphasize that Binance users are mostly short-term traders engaging in frequent buying and selling. This rapid return and frequent transactions indicate short-term and speculative behavior in the market, which can lead to significant price fluctuations in Bitcoin and affect its price stability. Therefore, Bitcoin is expected to continue facing noticeable fluctuations in the short term. Meanwhile, Bitcoin’s bullish power index has decreased to 10, indicating a weakening of positive market sentiments. You can monitor the prices of all tokens and cryptocurrencies live on the real-time digital currency price page.
