BTC reached its annual high, and in the meantime Bitcoin whales are surfacing to seize the moment. What are they leaning towards?
During this week Bitcoin has been leading the reviews on the cryptomoney news sites, after BTC reached its annual high. However, to get an idea of the whole picture we also have to take into account the activity of Bitcoin whales. How have they reacted to this upward trend? Let’s take a look.
Since the beginning of October, in Crypt Trend we’ve been reporting that Bitcoin whales have maintained a cumulative trend, which in one way or another has driven the price of cryptomone currency. This week, after PayPal’s announcement of accepting crypto currency, a lot has happened.
The number of Bitcoin whales has increased, the number of active addresses has increased, and the price hasn’t lagged behind either. All in all, a good week for the BTC bulls.
At this point we’ll see that Bitcoin whales have been accumulating even during this upward trend, which means they’re confident that BTC can continue to rise. Obviously, it can do so even more if these players continue to take their cryptosystems out of the exchanges, but we’ll see in detail the proportion of their action.
In order to analyze this aspect, we take as a reference the reports given by the Whale Alert tool on Twitter.
Bitcoin’s appreciation is unstoppable, says analyst
Bitcoin whales accumulate BTC while reaching their annual maximum
During this week, Bitcoin whales have performed 43 operations, mobilizing a total of 97,033 BTC. As the summary table shows, 35.55% of this total was mobilized on Wednesday, October 21. On this day, the accumulation of BTC was the protagonist, exactly 17,304 BTC went from exchanges to unknown wallets through eight transactions.
Summary table of Bitcoin whale activity during the week (19-24 October 2020), where BTC accumulation has predominated. Source: Whale AlertSummary chart of Bitcoin whale activity during the week (19-24 October 2020), where BTC aggregation has predominated.
Then, October 22 was the second most active day (33.98% of the weekly total was mobilized on this day). However, as we approached the weekend, Bitcoin whales decreased in frequency and strength of movement.
The flow of activity for Bitcoin whales this week shows that they moved a greater amount of BTC in the early part of the week. The flow of activity for Bitcoin whales this week shows that they moved a greater amount of BTC in the early part of the week.
On a general level, we can say that although the predominant trend was accumulation, we can’t ignore that many whales took their tokens to exchanges in search of profit. The accumulation of the whales was 46.20% of the total. That is, 44,836 BTC.
Meanwhile, 19.22% of the weekly total moved from unknown wallets to exchanges (18,642 BTC). In fact, this trend was the one that predominated this Friday, October 23.
Bitcoin is the most desired asset in the OTC markets
Therefore, we can say that Bitcoin whales expect more from BTC, so they keep accumulating and maintaining tokens. However, a smaller group started selling their tokens to take advantage of the profits. A liquidation is likely, but not enough to diminish the rise that the other part of the investors are looking for when taking liquidity out of the market.
It is also valid to note that already at the end of the week the accumulation decreased considerably, thanks to the fact that it was at that time that BTC increased more in price.