A new report from crypto market data aggregator, Glassnode, shows that bitcoin whales offloaded a lot of bitcoin since the start of February. The whales have been offloading their bitcoin this month after a long period of accumulation.
According to Glassnode, any address that holds between 1,000 BTC and 10,000 BTC is a ‘whale’ while the “humpback whales” hold over 10,000 BTC. The report also stated that the number of whales increased by over 14% in the year to February 5, 2021.
In January, whales and humpbacks’ buying spree peaked as they acquired 80,000 BTC worth $3.84 billion based on the current market prices.
But since February, these whales and humpbacks seem to have taken heavy profits, selling 140,000 BTC, which is equivalent to $6.72 billion since the start of the month. The data indicates an inverse-correlation between the trading activities of whales to the smaller, but still very wealthy investors.
Glassnode noted that ‘dolphins’ and ‘sharks’, which are wallets that hold 100 BTC to 1,000 BTC dropped 95,000 BTC worth $4.56 billion in January. However, they have flipped to become bullish in February, cumulatively accumulating 117,000 bitcoins worth $5.61 billion since the start of this month.
“Important to note is how the supply changes for the Dolphin/Shark class (purple) and Whale/Humpback class (green) are mirrored in volume and shape. Where one class sees increasing volume, the other sees decreasing volume (and vice-versa).”
‘Fish’ and ‘Octopus’ which hold between 10 BTC and 100 BTC have been selling their holdings since November 2021. In that time, they have sold over 128,000 Bitcoin or $6.14 billion within four months.
The 20% bitcoin price crash this week resulted in a lot of action for the whales with one clever whale cashing out $156 million before the dip started on February 22. Fears of a further downside movement may not happen as new research from the CrossTower trading platform says that institutional buying will maintain the price of bitcoin above $50,000 in the long term.
