In the midst of strong selling pressure on the world’s leading digital asset, Bitcoin, whale wallets are showing increased accumulation. Recent on-chain data reveals that Bitcoin whale wallets with more than 10 BTC have reached an all-time high in terms of total holdings worth over 16 million BTC.
Bullish Outlook Among Major Bitcoin Holders
Based on data from Santiment, a leading on-chain data provider, there is bullish sentiment among holders despite Bitcoin’s price performance. As per data, wallet holders with over 10 BTC have now amassed an unprecedented 16.17 million BTC. This reflects strong confidence in Bitcoin’s price potential.
🐳 Bitcoin’s key stakeholders project a long-term bullish picture, as 10+ coin wallets have now accumulated an all-time high 16.17M BTC.
Ideally, we see buying power (dry powder) increase from Tether and USD Coin holders to really open the floodgates for crypto’s next bull run. pic.twitter.com/TgRUpaDVYt
— Santiment (@santimentfeed) July 2, 2024
Despite this optimism, Santiment insists that the bull run for Bitcoin is dependent on an increase in the buying power from USDT and USDC stablecoin holders. Notably, the injection of capital from these stablecoin holders could possibly trigger a significant uptick in Bitcoin accumulation, and ultimately, price.
As per CoinMarketCap data, there is pressure on Bitcoin as the price within the past 24 hours has dropped 2.42% to $60,406.77. This noticeable slip below the $61,000 mark has induced selling pressure which some analysts attribute to ongoing Bitcoin miner capitulation.
Renowned analyst, Dan Crypto Trades on X, highlighted a recent event where an impatient trader on Coinbase executed a market sell of 250-300 Bitcoin twice, totaling around $30 million. This large sale resulted in a price slippage of $600-$1000 per Bitcoin.
Long-Term Market Indicators and Investor Sentiment
To assess the situation, CryptoQuant, another on-chain data provider, uses a metric known as the 60-day Realized to Market Capitalization Variance (RCV). This metric evaluates the two-month change in the realized cap relative to Bitcoin’s current market value, aiding long-term decision-making and Dollar Cost Averaging (DCA) strategies.
CryptoQuant’s data indicates that Bitcoin has entered a risk zone based on this metric. Nevertheless, there is potential for market growth to higher levels, such as 0.70. Although future predictions remain uncertain, a demand surge around the 0.50 level could mirror the behavior seen in 2017, potentially setting a new long-term high for Bitcoin.
Perhaps this explains the reason behind continued Bitcoin accumulation among some individuals and corporate bodies.
Disclaimer: The information provided in this article is for informational purposes only. It does not constitute investment, financial, trading, or any other sort of advice. You should not treat any of Crypto-Vanguard’s content as such. Crypto-Vanguard does not recommend that any cryptocurrency should be bought, sold, or held by you. Do your due diligence and consult your financial advisor before making any investment decisions.