Bitcoin Whales Make Big Moves In Market Crash

Big Bitcoin holders, called “whales,” made their most significant moves since April during a market crash on August 5 and 6. Santiment, a company that looks at crypto data, says wallets with 10 to 1,000 Bitcoin bought a lot when prices fell below $50,000.

Source: Santiment

During those two days, there were over 28,000 Bitcoin trades worth more than $100,000 each, and another 5,700 trades were worth over $1 million. This buying happened as Bitcoin’s price dropped fast, falling about 18% in less than a day.

Whale Activity Drives Bitcoin Accumulation Amid Market Turbulence

Ki Young Ju, who runs CryptoQuant, said long-term holders bought nearly $23 billion of Bitcoin last month. He called it “clearly accumulation” and said over 400,000 Bitcoins moved to these long-term holding accounts since early July.

Before the crash, whales were already moving Bitcoin off exchanges at the highest rate in nine years. This often means big players think prices will go up soon.

But only some were buying. U.S. Bitcoin ETFs lost over $550 million as investors took money out. Some market watchers found this worrying, as these new investment options could mean less support for Bitcoin’s price.

Despite the significant drop, BTC has since recovered a bit. It now trades above $57,000, showing the impact of whale buying during the price fall.

The crash saw Bitcoin quickly fall from just over $60,000 to below $50,000. This sudden drop scared many smaller investors, but the whales saw it as a chance to buy more.

Santiment’s post on X (formerly Twitter) on August 8 revealed these whale moves. They pointed out that big wallet holders “rapidly accumulated” during the price dip.

CryptoQuant’s founder also noted that older whales, who held Bitcoin for over three years, had sold to newer whales between March and June. But now, he says, “There is no significant selling pressure from old whales at this time.”

This whale activity shows how big players can affect the Bitcoin market. While small investors panic-sold, these large holders saw an opportunity to increase their positions at lower prices.

Furthermore, the author’s views are for reference only and shall not constitute investment advice. Before purchasing, please ensure you fully understand and assess the products and associated risks.