The overall crypto markets are struggling, including major tokens like Bitcoin, Ethereum, and others. Amid this ongoing downtrend, Lookonchain has shared metrics showing that a whale withdrew massive amounts of Bitcoin from Binance.
Whale buys 1,700 BTC
According to data from Lookonchain, the whale has withdrawn 1,700 BTC worth $161.35 million from Binance today. This is an indication that massive Bitcoin accumulation continues.
However, the withdrawal occurred at a time when Bitcoin cooled its momentum, currently trading at $94,982.75. This recent accumulation signifies that the trader and other whales are capitalizing on the market dip to acquire huge quantities of BTC tokens.
As the year nears to close, extreme volatility has been witnessed during the holiday season, fueled by fewer participants and decreased liquidity. This period created extraordinary opportunities for active traders to take advantage of market movements.
The ongoing downturn trend indicates that inactive coins are re-entering circulation. Crypto on-chain analyst Maartunn today presented data indicating that more than dormant 8,000 BTC coins, accumulated between five and seven years ago, have been transferred on-chain recently. The movement made market participants cast doubts on long-term holders’ motives. In the past, such transfers often happen before market changes, with expanded selling pressure signifying a possible price slump.
Latest on-chain metrics show that smaller wallets associated with retail investors have been declining since the beginning of the bull market. However, bigger addresses holding 10+ BTC continue to accumulate. Such acquisitions by sharks and whales signify strategic repositioning and long-term confidence.
Bitcoin price updates
BTC has continued to struggle below the $100,000 milestone for several days now. This prolonged slowdown has triggered debates about a possible consolidation or greater drop as the market looks forward to the next significant move. Â
BTC is currently trading at $94,982.75, down 2.0% in the last seven days, implying that it is underperforming the global digital asset market which is up 1.60% currently. Its trading volume is down 47.40%, indicating a recent decrease in market activity.
Since early this month, Bitcoin set foot into a prolonged correction momentum, struggling to create a clear path in either direction. The latest on-chain data shows that whale activity appears to play a crucial role in making the price consolidated. According to crypto analyst Maartunn, a reemergence of a dormant Bitcoin whale has the potential to impact the market’s movement.
As per data shared by Maartunn, an inactive Bitcoin whale moved over 8,000 BTC tokens onchain 10 days ago. The same trader is alleged to have transferred a sum of over 72,000 BTC since the correction period started. This whale has been active of late, signifying strategic repositioning as opposed to panic selling.
The impact of this activity is significant. Provided that this whale continues to deposit BTC on exchanges, the selling pressure could suppress Bitcoin’s movement below the psychological $100,000 level. This could extend the current correction phase for several weeks. However, the ongoing accumulation and repositioning period could pave the way for an incredible uptrend once the offloading activity declines.
