For a few weeks now, BTC has been in a kind of sideways market in which the price does not rise or fall, or the oscillations are too slight to speak of a change in trend. In this context we wonder what do Bitcoin whales do, do they opt for other cryptosystems?
For this, we’ll take into account the latest reports from Whale Alert, and some data provided by Glassnode on Bitcoin. We’ll also look at some of the cryptosystems that have been moving around recently.
Tether: Are crypto whales accumulating USDT?
BTC in a side market and crypto whales know it
Despite some large fluctuations, the price of Bitcoin has been surprisingly stable over the past 2 months. What’s more surprising, it rarely leaves the 9k-10k range.
After a brief drop below US$ 9k last Monday, BTC recovered to a high of around US$ 9560. But then, it slowly declined over the rest of last week, closing at around US$9340.
Then, if we take a look at Whale Alert’s recent reports, we notice that only one or two Bitcoin trades are showing up. However, June 19th was quite particular, with large movements between unknown portfolios. But just that, between unknown wallets.
Some Twitter users expressed their suspicions that it could be movements from cold wallets (offline storage) to hot wallets (for trading). If so, that would mean that some whales were preparing to sell their cryptom currencies in a big way.
However, days later this has not been the case. So the possibility of what we saw last June 19th was some exchange moving their BTCs. In that time they moved around $2 billion in BTCs.
Bitcoin Data: BTC Highlights
Are Bitcoin whales opting for other cryptosystems?
To claim this is only to look at the Whale Alert notifications superficially, as the fact that there are more reports of other cryptosystems being moved at the moment does not necessarily mean that Crypto Trader whales have sold to buy other assets.
A more sensible approach is to review the evolution of the number of addresses with a balance greater than 1000 BTC.
We saw this graph go down in April, to 2,135 addresses with this amount, we would have to wait to see the update of this data from Glassnode to be able to confirm if indeed the crypto whales have been selling their Bitcoin.
Even if this were the case, and they were selling it, it does not necessarily imply that they have automatically gone to invest it in other crypto currencies. For example, much of the recent movement we have seen from crypto whales with USDT has been from exchanges rather than individual investors.
Thus, we can conclude that although Bitcoin has been in a sideways market recently, crypto whales have not necessarily gotten rid of their accumulated BTCs. Nor can we say that what they have sold has been reinvested in other crypto currencies.