May 2025 saw record highs for Bitcoin (BTC/USDT pair) on the Binance platform, with prices touching around $111,814 on May 22 before retreating towards the $105–108K levels. The daily chart shows positive technical signals; a bullish golden cross occurred between the moving averages (50-day and 200-day), enhancing bullish momentum, while the Relative Strength Index (RSI) stands around 62, indicating a technical margin for upward movement before entering overbought territory. Overall, Bitcoin appears to be in a bullish recovery phase away from key averages, with momentum focused on the short-term upward direction.
Whale Activity
According to Glassnode and CoinDesk reports, the behavior of large whales (holders of >10,000 BTC) has shifted from accumulation in April to distribution recently. Their accumulation metric has dropped to ~0.4, and we have seen new increases in their deposits to exchanges, reflecting a trend towards profit-taking.
Conversely, the Santiment report revealed a continued outflow of supply from exchanges (a net decrease of about 147,160 Bitcoin since the beginning of 2025). This supply contraction supports the long-term bullish assumption; as the storage of whales and others away from spot trading reduces immediate selling pressure.
The medium-sized whale category (100–1,000 BTC) has seen intense buying activity; this category has acquired about 122,330 Bitcoin over the past 6 weeks, indicating a surge in accumulation by institutions and large wallets.
Conversely, a sharp increase in whale transactions was observed upon reaching the peak of ~$112K, which is a traditional indicator for profit-taking. The divergence of these signals leaves the question open: Will the price continue to rise with whale accumulation or will the trend reverse through a correction if distribution prevails?
Market Directions and Future Scenarios
The next market path is determined by the strength of bullish momentum against selling pressure. In the bullish scenario, maintaining support around ~$108K and breaking through the $111–112K level is essential. Technical analysis indicated that if the price holds above $108K and breaks the current resistance, Bitcoin could witness an additional upward wave towards the $116–120K range. Conversely, the opposing scenario involves breaking the critical support; Bitunix analysts warned that a breach of $108K could shift the market structure in favor of selling. If selling pressure escalates significantly (for example, through large deposits of Bitcoin into exchanges), the price could quickly retreat towards $100K or lower.
Summary and Recommendations
In conclusion, we recommend that advanced traders closely monitor these indicators. The convergence of whale accumulation signals with bullish technical indicators strengthens the upward scenario, but caution is advised regarding any sentiment reversal that could lead to a quick correction. Keep an eye on key support/resistance levels ($108K and $112K) and use this analysis within your trading strategies on the Binance platform. Do you notice a similar pattern in the market? Share your thoughts and comments for more constructive dialogue.
