Bitcoin whales and capitalists ‘buy the dip’ around $19k as miners risk-off

Despite Bitcoin suffering from a large deleveraging event and falling to values not seen before 2020, investors have discovered a brief window of opportunity to increase their holdings.

Since reaching an all-time high of $69,000 in November 2021, bitcoin has been in a freefall, giving up almost 70 percent of its total gains and resulting in unrealized losses for the majority of post-2020 investors. As a result of the asset’s rising popularity and acceptance, investors are already purchasing one Satoshi at each price drop to prevent missing the next leg up.

According to the crypto on-chain analytics company Glassnode, spot purchasing whales have been accumulating BTC at an astounding rate. This group is regarded as the most resilient and can endure any market phase while acquiring more coins. These organisations have been purchasing around 144,000 BTC every month from cryptocurrency exchanges and currently have 8.69 million BTC, which is approximately 45.6% of the total supply.

Despite the fact that Sharks (1k to 10k BTC) are raising their wallet balances, the rate is extremely slow. According to the report “, they are high-net-worth and maybe institutional-sized participants.” Due to the recent errors that have affected TradeFi and cryptocurrencies, sharks have likely been hurt by deleveraging and margin calls and seek to avoid being exposed. Crabs (0.1 to 10 BTC) seem to have seen $20,000 as the value magnet collecting there at the highest pace since 2017.

Shrimps (wallets containing one or less than one BTC) have also capitalised on Bitcoin’s firesale by purchasing assets in bits in order to realise their ambition of owning at least one bitcoin. This lot has been increasing its balance at the fastest rapid pace. In the previous two quarters, shrimps have added around 36,75k BTC each month or approximately 0.2% of the entire circulating supply and currently own a total of 1.12M BTC.

Also Read: Binance’s CEO Predicts Defi In 10 Years 

Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.

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