U.Today – As the latest data provided by Santiment suggests, whales are currently distancing themselves from the market, and their activity is plummeting towards 2024 lows. Unfortunately, it could be an indicator of an upcoming surge in whale pressure. sell if BTC remains relatively neutral.
While Bitcoin's 100+ BTC whale wallets continue to hold a high level of coins, totaling 11.79 million BTC, whale activity has fallen to its lowest level of 2024. There are currently 15,907 wallets containing at least 100 coins. Every time the metric rises, we see an increase in renewed demand among whales, which should directly impact Bitcoin's performance.
Interestingly, the drop in whale activity could also be seen as a positive sign for the market. With fewer whales actively trading, the market could experience less volatility. When whales make large transactions, they can significantly affect the market, causing sudden price swings. Reducing activity among these large holders may lead to a more stable and predictable market environment, but this is not the reason why people trade and own cryptocurrencies.
Additionally, lower whale activity could indicate that these large holders are happy with their current positions and are not looking to liquidate their holdings. This could suggest long-term bullish sentiment as whales tend to have a better understanding of market dynamics and trends. Your decision to hold rather than sell could reflect your confidence in the future growth of Bitcoin's price.
While the recent decline in Bitcoin whale activity to the 2024 low may initially seem worrying, it also offers some positive implications. Reducing market volatility and the potential for long-term holding of whales may provide a more stable environment for smaller investors.
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This article was originally published on U.Today.
