„Bitcoin whales“ give mixed picture, overall positive trend
The „big boys“ are driving different strategies in Bitcoin’s decline, but retail investors also still have a say.
After Bitcoin reached a new preliminary record high almost exactly seven days ago, it went down sharply again in the course of this week. Investors and analysts are therefore now turning their eyes to the „big boys“ to guess the further directional development. The picture that emerges, however, is mixed.
As the data from the crypto market researchers at Glassnode show, the number of „Bitcoin whales“, a term for large investors who hold between 1,000-10,000 BTC in their wallets, is Ethereum Code currently declining again for the first time since April 2020. The buying interest of the „whales“ was in a strong upward trend until recently, analogous to the bitcoin price. So are the big investors letting up and is this a harbinger of further losses?
Crypto market researchers at Glassnode point out that a „significant portion“ of the declining wal-wallets can probably be explained by the fact that major crypto custodians are currently restructuring their wallets. It is therefore even conceivable that whale crypto assets are moving into long-term custody („deep storage“), which would again be a positive sign. A precise interpretation is difficult, but the decline should not necessarily be read as panic selling by the big boys.
Bitcoin miners‘ sell-offs, on the other hand, are much clearer to see, with these being a positive sign
For example, Lex Moskovski, the CEO of Moskovski Capital, pointed out on Friday that bitcoin miners, who are often the trigger for emerging selling pressure, are buying rather than selling for the first time in two months. He sees this as a positive signal.
Institutional investor interest also seems to remain high. Ki Young Ju, the CEO of CryptoQuant, explains in this context that bitcoin assets on crypto exchanges are decreasing again, which in his opinion proves that institutional investors are acquiring these funds. Accordingly, at a price level of 48,000 US dollars, considerable sales were made by the crypto exchange Coinbase.
On the other hand, he attributes the current price decline to macroeconomic factors, first and foremost the huge increase in the yield on 10-year US government bonds this week, which have indirectly affected the crypto market via the financial markets.