Bitcoin Whales Add 94.7K BTC in Six Weeks as Price Struggles at $60K

Bitcoin whales accumulate more tokens at a discount as the price struggles to recover significantly after a sharp drop from its $68,000 peak. 

Data shows that, despite the prevalent volatility, whales holding between 100 and 1,000 BTC have accumulated an additional 94,700 coins over the past six weeks. As smaller traders exit the market due to uncertainty, larger holders are capitalizing on price dips.

According to Santiment, a market intelligence platform, this accumulation phase indicates strategic buying as the asset’s value hovers below $60,000. 

🐳 Bitcoin’s whales, specifically wallets that hold between 100-1K BTC, have accumulated 94.7K more coins in the last 6 weeks. As price uncertainty has shaken many traders out of crypto, key stakeholders are loading up. pic.twitter.com/hrhlVrNqNU

— Santiment (@santimentfeed) August 19, 2024

Notably, while retail investors face challenges, key stakeholders are increasing their positions, reflecting diverging market behaviors.

Bitcoin Whale Accumulation

This accumulation phase suggests that whales are likely preparing for a potential price surge. Their behavior contrasts sharply with smaller traders who are selling due to fear of further price declines.

Prior to this, wallets in the 100-1,000 BTC range had maintained a steady holding pattern, neither accumulating nor distributing coins. 

Highlighting Distribution Changes

Further data from IntoTheBlock complements Santiment’s analysis by highlighting changes in Bitcoin’s distribution across various wallet sizes. As of early July 2024, there were 54.18 million Bitcoin addresses. The majority of these addresses held smaller amounts of Bitcoin, while larger wallets remained fewer but more concentrated. 

Notably, the number of addresses holding 100-1,000 BTC increased by 1.34% during this accumulation phase. In contrast, mid-range wallets holding 10,000-100,000 BTC declined by 2.02%, suggesting potential rebalancing by larger holders, although the overall trend remains focused on accumulation.

Institutional Interest in Bitcoin Strengthens

The trend of accumulation by whales aligns with increasing inflows into Bitcoin-focused investment products. According to CoinShares, Bitcoin products led the market with $42 million in inflows, surpassing Ethereum-based products. 

Despite these trends, other assets like Solana saw significant outflows. Meanwhile, data from early August confirmed the continuation of whale activity, with over $1.6 billion worth of BTC purchased within a 48-hour period.