Binance's move to purchase $1 billion worth of BTC, executed over 30 days, has limited direct impact on the market. However, for those large sellers betting against the market, it sends a strong signal. This indicates that Binance will remain a net buyer over the next 30 days and will not be selling off. Just by releasing this signal to the market, it is enough to cause some aggressive short sellers to pull back. In fact, since Binance announced this yesterday afternoon, BTC holdings have quickly declined from their peak. This suggests that the downward selling momentum is weakening, and short positions are being closed. The market is a dynamic game, and short sellers cannot be sure whether other major players (Justin Sun, Tether) will follow Binance's lead. But the mere expectation of this creates enough psychological pressure for aggressive shorts to step back. During the midnight hours, gold and silver plummeted, but BTC rebounded from the bottom, which is a positive sign. Currently, BTC is approaching the second leg near the previous $80,000 level, and the market's confidence in this recovery is very important.
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Binance's move to purchase $1 billion worth of BTC, executed over 30 days, has limited direct impact on the market. However, for those large sellers betting against the market, it sends a strong signal. This indicates that Binance will remain a net buyer over the next 30 days and will not be selling off. Just by releasing this signal to the market, it is enough to cause some aggressive short sellers to pull back. In fact, since Binance announced this yesterday afternoon, BTC holdings have quickly declined from their peak. This suggests that the downward selling momentum is weakening, and short positions are being closed. The market is a dynamic game, and short sellers cannot be sure whether other major players (Justin Sun, Tether) will follow Binance's lead. But the mere expectation of this creates enough psychological pressure for aggressive shorts to step back. During the midnight hours, gold and silver plummeted, but BTC rebounded from the bottom, which is a positive sign. Currently, BTC is approaching the second leg near the previous $80,000 level, and the market's confidence in this recovery is very important.