Large Crypto Whales Accumulate $3 Billion in Bitcoin in January
According to data from onchain analytics firm IntoTheBlock, crypto whales have been actively accumulating Bitcoin (BTC) this month, adding a total of $3 billion worth of the leading cryptocurrency to their wallets. These whales, which include entities, individuals, and funds holding over 1,000 BTC, now hold nearly 7.8 million BTC.
Whales Exploit Bitcoin Dip to Accumulate More
Bitcoin experienced a dip in price last week, dropping to lows near $38,500 as investors in the Grayscale Bitcoin Trust (GBTC) decided to take profits. Seizing the opportunity, some whales took advantage of the lower valuations and acquired more Bitcoin through the Bitfinex cryptocurrency exchange. Despite price fluctuations, these whales have shown confidence in the long-term prospects of Bitcoin and continue to accumulate more during market dips.
Crypto Whale Impact on the Market to Diminish After Spot ETFs
Aurelie Barthere, Principal Research Analyst at Nansen, believes that the approval of spot Bitcoin ETFs will specifically impact crypto whales who control a large share of the current token supply. The arrival of ETFs is expected to bring more liquidity to the spot markets and reduce price volatility in the long term. Barthere also expects lower-fee ETFs to attract more inflows and predicts that the competitive landscape among Bitcoin spot ETF providers will be shaped by factors such as reputation, size, existing footprint, and management fees.
Hot Take: Crypto Whales Continue to Drive Bitcoin Accumulation
The accumulation of Bitcoin by crypto whales highlights their confidence in the future of the leading cryptocurrency. Despite market fluctuations, these large investors have taken advantage of price dips to acquire more Bitcoin. As the cryptocurrency market evolves with the introduction of spot Bitcoin ETFs, the influence of crypto whales on the market is expected to diminish. The approval of ETFs will bring more liquidity and stability to the market, reducing price volatility in the long term. It will also attract new investors and reshape the competitive landscape among ETF providers. Overall, this data suggests a positive outlook for Bitcoin’s future growth and adoption.
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