Whales have not stopped accumulating bitcoin. Current trend patterns suggest that bitcoin whales who hold between 100 to 1,000 BTC remain very bullish on the digital asset’s prospects. The slow month of September had seen the asset suffer dips and crashes which brought the price down to the $40K trading range. However, whales had used this as an opportunity to increase their holdings at a low price.
Bitcoin wallets holding between 100 and 1,000 had continued to add to their balance and by the end of September, these wallets had accumulated a collective total of 85.7K BTC. In today’s prices, this amount would total $4.76 worth of BTC accumulated by whales while retail investors panicked sold their holdings. These whale addresses have also held on their bags through the long-suffering month of September.
Whales Increase Their Hold On Circulating Supply
As bitcoin whales accumulate more coins, the amount of the total circulating supply of bitcoin that they hold has also increased. Current numbers put the total supply of BTC held by these whale wallets at 21.3% of the total circulating supply of the asset. This number represents a new record for wallets holding between 100 and 1,000 BTC on their balances.
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In addition to buying, whales are also holding. 2021 marked a record number of diamond hands (long-term holders) in bitcoin. A reported 81% of the total BTC supply has not moved in the last three months. This metric shows that the digital asset may be heading into a supply shock.
The amount of BTC leaving exchanges outpaces the number of coins moving in, suggesting that investors are accumulating their assets and moving them to safer personal storage options.
Bitcoin Price Recovers From Tuesday’s Dip
Bitcoin price had fallen below the $54K on Tuesday night after the price of the digital asset had moved close to $58K during the day. This was attributed to traders cashing in some gains after the asset had hit its new four-month high. However, the asset had begun to recover about an hour after the dip and touched north of $56K in the early morning of Wednesday before trickling back down again.
BTC price recovers to trade north of $57K | Source: BTCUSD on TradingView.com
As midweek trading opens up, bitcoin has begun to see renewed recovery vigor. The price had dipped again to $54K, albeit a higher low this time than was seen in the late Tuesday dip. With whales filling up their bags and strong hold sentiment among investors, the asset looks poised to make another break towards $57K.
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Bitcoin is down 3.78% in the last 24 hours to be trading at $55,048 at the time of this writing. Trading volume is up in the same time period, but the price dip saw a 3.90% loss in the market cap, which is still holding steady above $1 trillion.
Featured image from Xycinews, chart from TradingView.com