Cryptocurrencies Price Prediction: Bitcoin, Crypto & Chainlink – European Wrap 5 February
|Bitcoin Price Forecast: BTC hovers around $97,000 as crypto czar David Sacks evaluates US Bitcoin Reserve
Bitcoin (BTC) price hovers around $97,000 on Wednesday after falling 3.5% the previous day. BTC still shows signs of weakness, despite Trump’s crypto czar, David Sacks, announcing during the digital asset press conference that they would evaluate a Bitcoin Reserve. Moreover, the K33 report highlights that Bitcoin CME traders maintain a defensive position and suggests investors avoid leverage at any cost in February.
Bitcoin price faced a pullback in the early Asian trading session, reaching a low of $91,231, but quickly recovered its fall to close above $101,300 on Monday. However, BTC failed to hold the $100,000 mark despite Trump’s administration’s support for digital assets, declining 3.52% on Tuesday.
Crypto market is still bullish despite a new sell-off [Video]
Crypto market faced some deeper decline, but still looks like a complex W-X-Y correction in wave 4 within a bullish trend for wave 5. A drop came from a stock market slowdown due to end of the month flows last week on Friday and due to US tariffs. However, now that US tariffs for Mexico and Canada are delayed, we can see a strong stabilization and recovery, which can be an indication for a bullish continuation within a new five-wave bullish cycle for wave 5, at least for the first half of 2025.
Chainlink Price Forecast: LINK holders bought into recent price dips
Chainlink (LINK) price is retesting and finding support around its descending trendline throwback at $16.91 this week, eyeing a recovery ahead. On-chain data supports the recovery as LINK’s daily active addresses and revenue generated are rising. Moreover, LINK’s Supply Distribution data shows that two cohorts of whales bought LINK during the recent price dip, hinting at a recovery ahead.
Santiment’s Supply Distribution metric shows that the whales holding LINK tokens between 1 million and 10 million dropped from 195 million on Saturday to 190.72 million on Wednesday. Meanwhile, wallets holding 100,000 to 1 million and 10 million to 100 million surged from 155.31 million to 159.53 million and 479 million to 480.78 million, respectively, in the same period.
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