Bitcoin whales amassed over 16,000 BTC in about 24 hours following the last dip. Similar activity was recorded as the market flipped green, with bulls looking to rake in gains. This sequence is usually the trend in a price correction in the bull cycle and leads to growing market inflows.
This year, several institutions have bought the dip, pouring funds in anticipation of price gains. This follows the bullish drive in Q1 2024, which saw Bitcoin hit a new all-time high above $73,000 after the United States Securities and Exchange Commission (SEC) approved spot Bitcoin ETFs.
On-chain Analyst Spot Whale Activities
A new CryptoQuant report shows large transfers to whale addresses. In nearly 48 hours, whale purchases topped $1.5 billion as traders look to recover from the dip that wiped out almost $4 billion from the market cap. Fluctuations in BTC price stirred panic, leading to massive liquidations allowing bulls to accumulate assets.
According to the report, the $1.5 billion seen in whale addresses does not include coins in centralized exchanges. There is a possibility that institutional players accumulated more assets but have not yet withdrawn them. Although the figures look impressive, these traders are mostly institutional traders with little input from retail. For Bitcoin’s price to break its all-time high, retail numbers need to go up significantly.
Crypto enthusiasts reacted positively to recent crypto purchases from Bitcoin mining firms and other institutions.
“Marathon Digital, $MARA, has acquired 6,474 BTC in November and has $160 million in cash reserved for potential future purchases. Marathon now holds 34,794 BTC, making it the second-largest corporate Bitcoin holder after MicroStrategy,” X user unusua_whales wrote.
Impact on The Market
Positive sentiments in Bitcoin translate to similar trading patterns in the wider market. This month, BTC surge to multiple all-time highs led to an upward swing in altcoins and meme tokens. Although Bitcoin maintained growing dominance, the market frenzy resulted in the total capitalization soaring past $3 trillion.
Bitcoin currently trades at $97,094 as the asset tries to recover weekly losses. Altcoins like XRP have also marked gains recently with double-digit weekly numbers. Bitcoin bulls have set short price targets above $100K this year, and altcoin holders anticipate gains in their favorite coins.
