Bitcoin whales often make more headlines than institutions and investors. In the crypto money market, especially when it comes to Bitcoin, it becomes more important to follow the movements of large wallets. Institutional investments focused on Bitcoin carry the risk of volatility and price manipulation, while whale investments affect Bitcoin’s supply-demand balance.
In the current market scenario, after the 12% gain from the 31k level, all eyes are focused on BTC again. Wealthy investors are returning to crypto. There were 1,000 to 10,000 BTC held by whale wallets. It rose more than 80,000 to 4.216 million BTC on July 2, reaching the highest value since May. The number of whale assets also rose to a three-week high of 1,922 towards the beginning of the month.
Analyst and investor Scott Melker underlined in a recently released video that the accumulation of whales is an extremely good sign.
“It’s very, very interesting to see the whales pile up once again. In such a free market, you don’t want to trade against, you want to be on the side of the whales.”
Melker emphasized that the more fear, doubt and panic there is in the market, the more likely whales are to accumulate. The experienced whale increase could push the price of the asset up and eventually end the bearish cycle.
The recent Santiment report highlighted that Bitcoin’s whale addresses holding 100 to 10,000 BTC started July with an accumulation increase of 60,000 BTC, the highest daily increase in 2021. These addresses were holding a total of 9.12 million coins after holding 100,000 BTC less just 6 weeks ago.
The renewed accumulation of whale assets was also noted by analyst Willy Woo. In retrospect, it cannot be denied that these wealthy investors played a leading role in pushing the Bitcoin price to $60,000 in just five months.
The recent increase in whale balance may also indicate that the bottom may have been reached. Bitcoin is trading at $34,766 at the time of writing, with a 24-hour price drop of 1.76%.
Just two weeks ago it was mentioned that whales are selling and some prominent whales are making profits from Bitcoin trading to Ethereum. However, in light of renewed whale interest in Bitcoin, it looks like positive signs are finally back on the table for king coin.