Bitcoin whales continued to “buy low” as BTC price weakness pushed it below $60,000.
According to data from on-chain analytics platform CryptoQuant, which contributor Axel Adler Jr. uploaded to
Bitcoin Whale Accumulation: “Nothing to Discuss Here”
Bitcoin whales are wasting no time in increasing their BTC exposure. This has been an almost continuous trend since the all-time high in March.
Analyzing known whale wallets that do not belong to miners or centralized exchanges, Adler identified a clear strategy used by large investors.
“Over the past six months, the whale has accumulated 1.5 million BTC (balance of over 1,000 BTC),” he said.
“There is absolutely nothing to discuss here.”
Bitcoin whale balance. Source: Axel Adler Jr.
Adler acknowledged that some smaller whales with less than 1,000 BTC were sold during the same period.
Zooming in on the most recent price action, CryptoQuant shows that other types of Bitcoin investors are also selling at a loss.
In particular, Bitcoin speculators, also known as short-term holders (STH), repeatedly sold their coins at a loss on exchanges in 2024.
On October 10, after BTC/USD fell below $60,000, Adler uploaded a STH profit and loss (P&L) chart for the trade to the exchange. He deduced that the largest whales were eating these coins. Are you in disbelief that a whale has amassed 1.5 million BTC and wondering where it got it? “How about taking a look at the sales that are losing money on the exchange?” he wrote
“24.1K BTC were sold at a loss in the last 24 hours.”
Bitcoin STH P&L. Source: Axel Adler Jr.
STH entities, which are wallets that store a certain amount of BTC for up to 155 days, are known for their reactionary buying and selling behavior.
BTC price volatility in a particular direction can lead to rapid selling or buying of the cohort, as seen in the response to Bitcoin’s recent rise to $66,000.
Whale growth could outpace “potential upward movement” in BTC price
Nonetheless, fellow CryptoQuant contributor DarkFost said the whale accumulation between $54,000 and $68,000 is “significant.”
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“New whales are coming into the game and accumulating strongly, while existing whales are also increasing their positions,” he concluded in a Quicktake blog post.
“Overall, we are seeing all the whales flocking to this price range. The increase in their balances suggests that a potential upward move in the medium to long term could be on the horizon.”
Number of Bitcoin Whales by Size (Screenshot) Source: CryptoQuant
This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.