Bitcoin Surges Toward $50,000: Whales Fuel Optimism

Bitcoin price has resented over the past week, with the premier cryptocurrency aiming to reach the $50,000 level again. Bitcoin has overcome the difficulties that caused its price to drop below $40,000 after the approval of spot ETF trading in the United States. Recent on-chain data has provided insight into what has transpired behind the scenes following Bitcoin’s price increase to its recent highs.

In a post on the X platform, popular crypto analyst Ali Martinez revealed that a certain class of Bitcoin investors had accumulated heavily in recent weeks. The relevant metric is the total number of coins held by whales, defined as those holding between 1,000 and 10,000 BTC.

According to data from on-chain analytics firm Santiment, whales with 1,000 to 10,000 BTC have added over 140,000 coins in the last three weeks. This is equivalent to a massive $6.16 billion. This recent purchase has increased the total amount of Bitcoin held by this whale class to 4.84 million BTC. Such large-scale acquisitions often indicate strong conviction and optimism in the world’s largest cryptocurrency.

The timing of this spike in whale buying activity is also interesting, as it coincides with a period of escalating interest from institutional investors. As reported by Bitcoinist, the new issuers of Bitcoin spot ETFs have accumulated over 200,000 BTC in assets under management.

Furthermore, the increase in whale activity paints an optimistic picture for the premier cryptocurrency, especially given that investors are hopeful about Bitcoin reaching $50,000 soon.

Bitcoin’s Trade Volume Surges to 4-Week Peak

As of this writing, Bitcoin’s price today is $48,361.41, with a 24-hour trading volume of $18,863,191,948. Bitcoin is up 2.65% in the last 24 hours. It has a circulating supply of 19,624,731 BTC coins and a maximum supply of 21,000,000 BTC coins.

Source: CoinMarketcap

In a recent post, Santiment revealed that Bitcoin hit a 4-week high in trading volume over the past week. The on-chain analytics platform attributed the single-day trading volume of $39.31 billion to the recent price boost experienced by Bitcoin. Meanwhile, trading volumes for other high-market-cap cryptocurrencies have been relatively muted, according to Santiment. Ethereum’s trading volume was an exception, also witnessing a significant price surge.

The renewed accumulation by whales, when considered alongside the enthusiasm from institutional ETF providers, suggests conviction in Bitcoin is strengthening. As prices aim higher, the premier cryptocurrency is regaining its momentum after a period of uncertainty. With whales and institutions stockpiling Bitcoin, optimism is growing that new highs lie ahead.

Related Reading | Bitcoin Price at Risk: Analyst Predicts $55M Liquidation

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.

Comments (No)

Leave a Reply