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CoinGape 2025-01-09 00:04:03

Bitcoin Whales Are Accumulating Again, Is Price Rebound Ahead?

After an intense selloff earlier this week, Bitcoin (BTC) whales are likely fueling a rebound in the broader crypto market. Now in consolidation, the market might face a potential breakout if ongoing acquisition from BTC whales translates into a short-term price rally. Bitcoin Whales Taking Advantage of Correction According to CryptoQuant data , large buying activity has resumed onchain after what it termed the biggest selloff of 2024. As reported earlier by Coingape, the BTC price fell suddenly after the US jobs and ISM Services Prices PMI came in strong. Despite this macro data, which indicated no rate cut by the US Federal Reserve, traders stayed cautious. Today, the Bitcoin price traded from a high of $97,258.32 to as low as $92,525.84. Noting the price outlook, CryptoQuant Analyst Cauê Oliveira said market whales waited patiently to accumulate just below the $95,000 level. After the biggest dump of 2024, whales are accumulating Bitcoin again “However, large players took advantage of the consolidation to open TWAP positions, patiently accumulating just below US$ 95K.” – By @caueconomy Full post https://t.co/yGOkuW0zo7 pic.twitter.com/9lqlHoWa4O — CryptoQuant.com (@cryptoquant_com) January 8, 2025 In his detailed analysis, Oliveira said that institutional investors dumped around 79,000 BTC over a week. This action triggered a 15% correction that the market is still not free from. He pointed out that large whales took advantage of the situation to open “TWAP Position” over the past 30 days. Institutional Investors Shielding the Market Per the CryptoQuant analyst, Bitcoin whales have bought more than 30,000 BTC units over the past month. He confirmed that institutional investors are the primary source behind the buying pressure for the recovery of BTC. The analyst pointed out that the retail demand for BTC has remained at its highest level in five years. Meanwhile, Bitcoin whales or institutional interest remains high overall. Most institutional buyers include firms like MicroStrategy and Riot Platforms. In a recent report, MicroStrategy bought $22 billion BTC in 2024. Following its purchases, the firm recorded a BTC yield of 74.3%. If related acquisitions continue, there are projections that it can help BTC print new highs in the mid-term. The Shift to a Third Force While institutional investors formed the Bitcoin whales caucus that pushed the coin’s price to an all-time high of $108,000 , nation states are predicted to join soon. After President-elect Donald Trump’s inauguration, conversations about a strategic Bitcoin reserve are growing. During his campaign, Trump pledged to set up such a reserve once he entered office, and the industry now expects him to fulfill his promises. If the US makes this move, market experts predict that other nations will follow. In the long run, the impact on Bitcoin price might be profound. The post Bitcoin Whales Are Accumulating Again, Is Price Rebound Ahead? appeared first on CoinGape .

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