Bitcoin Whales Buy $3.3 Billion in BTC as Prices Hit a 30-Day Low
On June 18, 2024, $BTC saw its price plummet to a 30-day low of $64,047, triggering a wave of volatility across the cryptocurrency market. This significant dip was largely driven by bearish reactions from retail traders following the U.S. Federal Reserve's decision to keep interest rates unchanged for the first half of the year, contrary to earlier expectations of a rate cut.
In the wake of this price drop, on-chain data revealed a significant trend: major Bitcoin investors, known as whales, have been purchasing substantial amounts of Bitcoin. Between June 7 and June 17, these whales acquired approximately 50,000 BTC, amounting to an estimated $3.3 billion. This accumulation during a market downturn indicates that these investors are taking advantage of the lower prices to increase their holdings.
The actions of Bitcoin whales are often seen as a positive signal for the market. There are several reasons for this. First, whales typically have access to more sophisticated market information, and their confidence in buying large amounts of Bitcoin suggests they anticipate favorable developments in the near future. Second, by purchasing such large quantities, they reduce the overall supply of Bitcoin available in the market. This can create upward pressure on prices when sentiment turns bullish again.
The substantial buying by whales suggests that Bitcoinโs price may stabilize above the crucial $65,000 support level in the short term.
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