Bitcoin Whales Show Confidence in Accumulation Trend Ahead of Halving Event

Bitcoin Whales Show Confidence in Accumulation Trend Ahead of Halving Event

The year 2024 began with a bang for Bitcoin, as it surged by over 73% in the first quarter to hit a new all-time high price of $73,750. Despite a subsequent decline from this peak due to turbulent price movements, the biggest stakeholders in Bitcoin have displayed a consistent accumulation trend in the first three months of the year. This trend suggests a high level of confidence in the asset’s profitability leading up to the upcoming halving event.

According to a recent report by blockchain analytics platform Santiment, Bitcoin whales, who hold between 100-100,000 BTC, have been accumulating the digital asset at a steady pace. These whales collectively purchased a total of 319,310 BTC, valued at $21.6 billion, in the last three months. On the other hand, retail traders holding 0-100 BTC have offloaded 105,260 BTC, worth $7.2 billion, during the same period. This data indicates a shift in ownership from smaller retail traders to larger institutional investors, reflecting a strong belief in Bitcoin’s future prospects.

The increase in market share by BTC whales, amounting to 1.4% in the last three months, is seen as a positive indicator leading up to the Bitcoin halving event scheduled for April 19. The halving, occurring every four years, involves a reduction in miners’ rewards on the Bitcoin blockchain by half. This event is expected to create a supply shortage, driving up demand and prices in the long term. The heightened accumulation by Bitcoin whales just before the halving is interpreted as a bullish signal, signaling confidence in the asset’s potential for future growth.

Current Market Performance of Bitcoin

Despite a slight decline in recent days, Bitcoin is currently trading at $67,521. The daily chart shows a negligible decrease of 0.01% and a 3.51% drop over the past seven days. The daily trading volume has also decreased by 6.80%, amounting to $32.35 million. However, Bitcoin has seen a significant 6.43% increase on a monthly basis, contributing to a remarkable year-to-date gain of 140.65%. With a market cap of $1.33 trillion, Bitcoin remains the largest cryptocurrency in the world.

Risk Disclaimer

It is important to note that the content provided in this article is for educational purposes only. NewsBTC does not endorse any specific investment decisions, and investing in cryptocurrencies carries inherent risks. It is recommended to conduct thorough research and analysis before making any investment choices based on the information provided here. Remember, all investment decisions should be made at your own discretion and risk.

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