Key players in the cryptocurrency market, known as “whales,” continue to buy Bitcoin even after the recent price drop. However, according to the report, their confidence in further market growth may be weakening.
Analytics firm IntoTheBlock has identified a potential change in the behavior of large investors who used to quickly accumulate Bitcoin when prices fell. IntoTheBlock's analysis shows a decline in flows from wallets containing more than 1,000 bitcoins. This may indicate a decrease in the interest of large investors in buying cryptocurrency after a period of active accumulation at the beginning of the year.
The firm conducted an analysis that calls into question the desire of “whales” to buy cryptocurrency after the latest halving of its value did not lead to a significant increase in prices. Additionally, inflows into Bitcoin exchange-traded funds (ETFs) have begun to slow.
At the time of writing, Bitcoin was trading at $62,600, up about 3% over the past week. However, the price is down nearly 10% over the last 30-day period following a bull run that saw it hit a new record high of around $73,500 following the launch of US spot ETFs.
While the latest decline in BTC value has not yet resulted in an increase in price, Coinbase shared on microblogging platform X (formerly known as Twitter) that historical data shows that after the latest decline in value, the price of Bitcoin usually stays within a certain range for the first few months before increasing significantly.
According to available data, Bitcoin continues to follow its historical trends and could rise significantly in the near future as lower supply begins to impact the market.
BNP Paribas, one of Europe's largest banks whose asset management division manages more than $600 billion in assets, has gained exposure to its flagship cryptocurrency through a spot exchange-traded fund, according to CryptoGlobe.
Large institutional investors with more than $100 million in assets under management are required to disclose their holdings quarterly through 13F filings. Following the successful launch of Bitcoin spot exchange-traded funds in the US, these filings have been closely watched by industry analysts.
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