Bitcoin whales have been steadily accumulating $BTC since the beginning of the year, leading to increased investor confidence and a significant price rally.
These large holders, known as whales, have reached their highest levels of Bitcoin holdings in over two years, marking a bullish trend for the cryptocurrency market.
Despite recent market drops, on-chain data shows whale addresses have continued to accumulate Bitcoin. The total supply in addresses holding 1,000 $BTC or more has hit a two-year peak, as per the data from IntoTheBlock.
This accumulation began in January 2024, coinciding with the introduction of spot Bitcoin exchange-traded funds (ETFs) in the US.
The new investment tools have facilitated easier access for institutional investors, leading to significant Bitcoin purchases.
Glassnode data supports this trend, indicating that US spot ETFs have acquired over 900,000 $BTC in just seven months.
Even during market corrections, funds have continued to purchase Bitcoin, contributing to the overall accumulation by whales.
Bitcoin miners have also played a role in this accumulation. In July, miners increased their holdings by 4,500 $BTC, equivalent to about $300 million.
Currently, addresses holding 1,000 $BTC or more account for 7.9 million $BTC, representing approximately 40% of the 19.7 million $BTC in circulation.
This accumulation by whales and miners has had a positive impact on Bitcoin’s price, attracting smaller investors and driving up buying pressure.
The current trend suggests that Bitcoin could be nearing another price surge, potentially approaching the $70,000 level.
Bitcoin crosses $67K
Bitcoin recently broke the $67,000 mark, reaching a high of $67,264 before settling back to $66,915.
This surge indicates a major resistance level at $67,000, but the drop in selling pressure suggests a bullish trend.
The Ichimoku Cloud showed Bitcoin trading within its boundaries, indicating market consolidation with potential for either an upward or downward breakout.
The conversion line above the baseline points to bullish momentum, while mixed signals in the cloud suggest immediate support at $66,704 and resistance at $67,005.
The 50-period moving average is at $66,704.69, and the 200-period MA is at $65,615, with Bitcoin’s price remaining above these levels, indicating a bullish market.
The On-Balance Volume (OBV) indicator stands at 8.726K, showing stabilised buying pressure.
However, the MACD indicator presents a different picture, with a bearish crossover indicating that bears are still active in the market.
Despite this, the overall technical analysis suggests potential consolidation before a decisive move, with clear support and resistance levels.
On the other hand, Bitcoin derivatives trading volume increased by 10.35%, reaching $48.6 billion, showing heightened trading activity and interest in derivatives.
However, open interest has slightly decreased by 0.92%, indicating a higher rate of closed positions.
The long/short ratio over the last 24 hours is 0.9467, showing a slight tilt towards short positions.
Liquidations have been substantial, with $34.33 million in total liquidations over the past 24 hours, predominantly in long positions. This reflected significant market activity and sentiment shifts.
The accumulation of Bitcoin by whales, reaching a two-year high, is driven by bullish market conditions and the introduction of Spot Bitcoin ETFs. This trend has increased investor confidence and driven a significant price rally for Bitcoin.
As whales continue to hold a large portion of the circulating supply, their actions will likely continue to influence the market, potentially leading to further price increases.
Bitcoin’s recent attempt to cross $67,000 faced resistance, but the overall market indicators suggest a potential for continued bullish momentum.
