In a noteworthy development, the price of Bitcoin has experienced a resurgence over the previous week, positioning the premier cryptocurrency once again towards the $50,000 mark. This notable recovery signifies a reversal from recent challenges that led to a drop in its value below $40,000 subsequent to the approval of spot ETF trading in the United States.
Recent insights gleaned from on-chain data shed light on the underlying dynamics precipitating Bitcoin’s ascent to its recent highs.
Whale Accumulation: Acquisition of 140,000 BTC within Three Weeks A disclosure made on the X platform by renowned crypto analyst Ali Martinez unveils a trend of accumulation among a specific segment of Bitcoin investors in recent weeks. Notably, this pertains to whales, defined as entities holding between 1,000 and 10,000 BTC.
#Bitcoin whales have been on a buying spree, acquiring 140,000 $BTC over the past three weeks, amounting to $6.16 billion! pic.twitter.com/ViRnYiJHmp
— Ali (@ali_charts) February 10, 2024
Per data furnished by on-chain analytics firm Santiment, whales in possession of 1,000 to 10,000 BTC have augmented their holdings by over 140,000 coins over the preceding three weeks, an equivalent of approximately $6.16 billion. This substantial acquisition brings the aggregate Bitcoin holdings of this particular cohort to 4.84 million BTC. Such significant acquisitions often signify a robust conviction and confidence in the premier cryptocurrency.
The timing of this surge in whale activity is particularly intriguing as it aligns with heightened interest from institutional stakeholders. Recent reports from Bitcoinist indicate that issuers of new Bitcoin spot ETFs have collectively amassed over 200,000 BTC in assets under management.
This pronounced uptick in whale activity augurs well for Bitcoin’s outlook, particularly amid investor optimism regarding the cryptocurrency’s potential to breach the $50,000 threshold.
Elevated Trading Volume: Bitcoin Hits 4-Week High At present, Bitcoin is valued at $47,715, reflecting a marginal 0.8% increase in price over the past day. According to figures sourced from CoinGecko, the flagship cryptocurrency has registered a noteworthy surge of more than 12% in value over the past seven days.
In a recent communication on X, Santiment disclosed that Bitcoin has reached a four-week peak in terms of trading volume in the preceding week. The on-chain analytics platform attributes the single-day trading volume of $39.31 billion to the recent uptick in Bitcoin’s price.
#Bitcoin whales have been on a buying spree, acquiring 140,000 $BTC over the past three weeks, amounting to $6.16 billion! pic.twitter.com/ViRnYiJHmp
— Ali (@ali_charts) February 10, 2024
Conversely, trading volumes for other high-cap assets have remained relatively subdued, as reported by Santiment. Ethereum, however, has emerged as an exception, witnessing a substantial surge in trading activity accompanied by its own price appreciation.
