As the price of the king coin rises, Bitcoin whales accumulate large amounts of BTC.
Traders remain optimistic and most continue to hold long positions.
Bitcoin [BTC] has inspired a lot of optimism in the past 24 hours, with its price reclaiming the $69,000 level. One of the reasons for this is the growing interest of whales in Bitcoin.
Whale migration
Lookonchain data shows that one whale has accumulated 113.735 BTC from Binance, totaling $7.85 million.
Since March 6, the whale has accumulated 1,308 BTC worth $89.75 million at an average price of $68,617.
Increased confidence among big investors can act as a catalyst, attracting more buyers and pushing prices higher.
The participation of whales can also validate Bitcoin’s potential in the eyes of other investors, further boosting the market. However, this newfound influence is a double-edged sword.
While whale activity can drive prices higher, it can also cause prices to fall sharply if they decide to sell their holdings.
While whales are accumulating Bitcoin at a higher rate, retail investors are showing less and less interest.
AMBCrypto’s analysis of Santiment data shows a decrease in the concentration of addresses holding between 0.001 and 1.0 BTC.
If whale investors continue to accumulate while retail investors become passive, Bitcoin holdings could become more concentrated.
This centralization of Bitcoin will make retail investors more susceptible to the behavior of whales.
In addition to the behavior of holders, another factor that influences Bitcoin price trends is activity on the Bitcoin network.
Data from Santiment shows that active addresses on the network remain high.
Ecosystem status
The high level of activity on the network is partly due to the growing popularity of serial numbers and inscriptions on the Bitcoin network.
AMBCrypto’s review of CryptoSlam data shows that the number of unique buyers and unique sellers has grown. In addition, the number of NFT sales on the Bitcoin network has also grown.
Traders also remain optimistic about Bitcoin. This is indicated by the Bitcoin put-call ratio, which has dropped significantly over the past few days.
The large number of call options held by traders suggests that many bulls expect BTC prices to rise further, even to previously set new all-time highs.