Recent data from Santiment, a market intelligence platform, highlights a noticeable decline in whale activity across most major crypto assets.
This trend, observed through 2024, reflects a significant decrease in the number of $100K+ transactions for Bitcoin and Ethereum, two of the largest assets by market capitalization. However, Santiment suggested that this reduction in activity does not necessarily indicate a bearish sentiment.
🐳 The decline in overall whale activity across most crypto assets has become more and more noticeable. Peak 2024 $100K+ transaction weeks for BTC & ETH compared to recently:
Bitcoin:
March 13-19: 115.1K Whale Transactions
August 21-27: 60.2K Whale TransactionsEthereum:
March… pic.twitter.com/kBseamXiCT— Santiment (@santimentfeed) September 3, 2024
Transactions Drop Significantly
Between March 13 and 19, Bitcoin whales recorded 115.1K transactions above $100,000. By August 21 to 27, this number dropped to 60.2K transactions. Ethereum showed a similar pattern, with 115.1K transactions in mid-March, plummeting to 31.8K by late August. Nonetheless, Santiment emphasized that such a decline does not imply immediate market selloffs.
Instead, whale activity typically intensifies during periods of high volatility. Despite the lower transaction volumes, Santiment data reveals that whales continue accumulating, albeit at a slower pace.
XRP, Toncoin, and Cardano
XRP, Toncoin, and Cardano also saw decreases in whale transactions, mirroring the broader trend observed in Bitcoin and Ethereum. XRP’s activity, which peaked earlier in the year, stabilized above 1,000 transactions by September.
Toncoin displayed a consistent, low level of activity with minimal fluctuations. Similarly, Cardano experienced a marked decline, settling at 1,867 transactions by early September.
Notable Whale Behavior
Beyond transaction counts, specific whale actions reveal the current market dynamics. Popular crypto analyst Ali Martinez highlighted a surge in Bitcoin’s Taker Buy/Sell Ratio on HTX, indicating aggressive buying by whales. This behavior aligns with recent reports of substantial Bitcoin acquisitions by notable whales.
For instance, one particular whale increased their holdings to 8,559 BTC, equating to approximately $493.18 million by September 2, following a series of purchases from a Binance hot wallet.
Ethereum whales also made significant moves, with two major holders withdrawing stablecoins from Aave and purchasing 7,767 ETH, valued at $19.22 million, within a day.
On August 30, Martinez also pointed out a 40,000 decrease in Bitcoin exchange supply within just 48 hours, indicating that major investors took advantage of the dip. This rapid reduction in Bitcoin availability suggests that several large-scale buyers entered the market during that short period.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
Source: https://thecryptobasic.com/2024/09/03/bitcoin-and-ethereum-see-rapid-drop-in-whale-transactions-heres-why/?utm_source=rss&utm_medium=rss&utm_campaign=bitcoin-and-ethereum-see-rapid-drop-in-whale-transactions-heres-why