Bitcoin (BTC) whales are clearly hoping to see a substantial price increase in the future as the number of wallets hit a record high of over 1,000 BTC ($ 35 million).
Data from the on-chain analytics resource Glassnode confirms that there are more than 2,400 wallets with large balances as of January 20.
The Whale wallet hits the record
In 2021 alone, 164 new BTC companies were formed, with over 1,000 BTC and a total of approximately US $ 6 billion under control. While this may not mean that all whales are increasing their positions, these figures have been reflected in the existing wealth transfer diagram, which is characteristic of the recent Bitcoin bull market.
As Cointelegraph reported, the BTC 1,000+ wallet category is the only category that has increased recently, while the number of smaller wallet holders has decreased.
Although some people ask Hodler not to sell to whales, others believe these newly formed companies will actively protect the value of their investments.
“The large amount of funds flowing into the Whale wallet amounts to $ 29,314. They will protect their Bitcoin … This should provide strong support for Bitcoin in the short and long term,” Resource Whale Card Monitor concluded on Twitter this week.
Bitcoin wallets of 1,000 BTC or more. Source: Glassnode
In terms of spot market price development, Bitcoin is still at a crossroads, with trading prices ranging from $ 30,000 to $ 40,000 throughout the week. At the same time, institutional giant Grayscale announced its largest one-day BTC purchase to date, valued at over 16,000 BTC and valued at approximately $ 700 million.
The “powerful part” of the bull market has not yet begun
However, looking ahead, this indicator continues to show the huge upside potential of BTC / USD.
After Bitcoin’s hot roof indicated that the price was in the early stages of the bubble formation, the current turbulence indicated that the market was just starting to make profits. According to macro-investor Dan Tapeiro, a benchmark seems to be the beginning of 2017, which is the beginning of an upward trend over the past year.
He commented: “Phenomena chart. The important part of bitcoin’s upward movement has not started yet. This chart shows that we are in the equivalent period of Q117.” He commented on the 260-day volatility of the S&P 500 index.
“Volatility peaked at the end of volatility and is still near the low point. It’s hard to believe that #btc will be 5-8 times higher in 2021. #HODL is the best.”