Sharks & Whales Accumulating Bitcoin and Tether
Data from on-chain analytics firm Santiment shows that both sharks and whales, referring to large holders of BTC and USDT, have been accumulating these assets recently. The metric used to track this accumulation is called “Supply Distribution,” which measures the total amount of the asset held by different holder groups.
For Bitcoin, the combined supply of sharks and whales is defined as the 10 to 10,000 BTC range, while for Tether, it typically ranges from 100,000 to 10 million USDT.
Sharks and whales play influential roles in the market due to their holdings, although their impact differs depending on whether they hold the volatile BTC or the stablecoin USDT.
Increased Buying Power
The chart below illustrates how the supplies of sharks and whales for both cryptocurrencies have changed in recent months:
[Insert Chart]Notably, the latest accumulation of Tether suggests that sharks and whales have increased their buying power. While spikes in this indicator sometimes come at the expense of BTC holdings, resulting in a selloff, in this case, both indicators have trended up simultaneously. This indicates that not only have sharks and whales been buying Bitcoin, but their capital reserves in the form of Tether have also grown. According to Santiment, this is generally a bullish combination.
BTC Price
Bitcoin briefly surpassed $27,000 but has since retraced and is currently trading around $26,700.
[Insert Bitcoin Price Chart]Hot Take: Bullish Signs for Bitcoin as Sharks & Whales Accumulate
The recent accumulation of Bitcoin by both sharks and whales, along with the growth in their capital reserves of Tether, suggests a bullish outlook for the asset. This combination indicates increased buying power and potential market support. Although Bitcoin’s price has retraced slightly, these on-chain indicators signal a possible rally ahead. As large holders continue to accumulate and strengthen their positions, it is worth keeping an eye on further developments in the market.
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