As per latest data, whales are getting ready for a potential Bitcoin price surge. The current whale ratio on spot exchanges, tracked via a 30-day moving average, mirrors patterns seen after the COVID crash in 2020, according to CryptoQuant. This suggests that large Bitcoin holders are actively accumulating coins.
Whales Accumulate Bitcoin in Anticipation of 2024 Halving Impact
There are several reasons behind this behavior. One possible explanation is that whales are positioning themselves ahead of the Bitcoin halving. In the past, the halvings have contributed to an increase in the price because of a cut in the bonus for new blocks mining. Due to steady demand and the previous halvings reducing supply by half this often leads to price rally.
For this reason, most whales could be aspiring to hold as many Bitcoins as possible before the halving of Bitcoins. In this way, they plan to make a profit on the back of the price rises that normally occur after the event, given that the availability of Bitcoins is likely to be under pressure owing to the cut in production.
Whales Strengthen Bitcoin Holdings, Eyeing Long-Term Gains Post-Halving
Other similar trends revealed by the authors are the increasing whale ratio on spot exchanges, which points to large investors’ preparation for a large-scale market operation. When whales scale up, they gain the ability to set certain trends in the market, including the ability to raise prices or ensure they remain relatively stable in a period of turbulence.
Therefore, Bitcoin whales could be preparing for another post-halving increase in the value of Bitcoin. CrytpoQuant data revealed that their activities are increasing in spot exchanges and they are holding more Bitcoins this indicates that they are long-term investors in Bitcoin.
