Bitcoin Whales Continue Accumulating Amidst Price Downturn

Despite a prevailing negative sentiment, Bitcoin whales holding over 1000 coins are actively increasing their accumulation, signaling potential shifts in market dynamics.

Bitcoin Whales Continue Accumulating Amidst Price Downturn_65d5d0c67e227.webp

The surge in the number of Bitcoin [BTC] addresses holding over 1,000 BTC has reached an unprecedented level, even as the coin faced a dip in performance following the approval of ETFs, as reported by IntoTheBlock’s data. As of the latest update, the leading cryptocurrency is valued at $41,760, reflecting a 15% decrease from its post-ETF approval peak of $48,625.

In the wake of persistently bearish sentiment, numerous market participants have opted to reduce their exposure to Bitcoin, strategically distributing portions of their BTC holdings. Interestingly, larger whales, holding over 1000 coins, have taken a divergent approach by intensifying their accumulation efforts amidst the declining price trend.

Smaller Bitcoin Whales Chart a Unique Course

Conversely, investors holding between 1 and 1000 coins have chosen a different path, actively reducing their holdings in recent days. Santiment’s data indicates that this group of BTC investors initiated a coin distribution on January 5, possibly influenced by a report from crypto investment services provider Matrixport published two days prior. The report speculated on the expectation of the U.S. Securities and Exchange Commission (SEC) rejecting all pending spot BTC ETF applications.

This triggered a market frenzy, resulting in a double-digit plunge in BTC’s value and the liquidation of $500 million worth of positions across derivatives exchanges within a 24-hour period.

Smaller Bitcoin Whales Chart a Unique Course

Despite the approval of ETFs, sentiments among BTC holders failed to improve. As of January 26th, there were 878,000 addresses holding between 1 and 1000 coins, marking a 0.4% decrease from the 882,000 addresses at the beginning of the year.

Related: Bitcoin’s Pre-Halving Rollercoaster: Dips and Swift Recovery

The overall sentiment surrounding BTC has continued to deteriorate, with the coin’s weighted sentiment at -0.49 as of the latest update. This negativity has been apparent in the downward trajectory of the coin’s price since January 15th.

1706411364

Further confirming the prevailing pessimism in the BTC market, its futures open interest has witnessed a significant decline, dropping by 15% since the introduction of ETFs. Current data from Coinglass indicates a futures open interest of $17 billion, down from over $20 billion on January 10th when ETFs were approved.

(100 votes)

5.0/5

(100 votes)

Latest

Bitcoin Plunges To $105,000, Crypto Market Turns Red

News | Bitcoin | Editor Choice

Bitcoin Plunges to $105,000, Crypto Market Turns Red

Bitcoin's unexpected plunge to $105,000 sent the crypto market into the red, but a key technical indicator hints at a possible recovery ahead.

Bitcoin Nears $110,000, Who’s Leading The Charge This Time

News | Bitcoin | Editor Choice

Bitcoin Nears $110,000, Who’s Leading the Charge This Time?

Bitcoin is once again approaching the $110,000 mark, driven by strong buying momentum from both whales and retail investors—particularly in the U.S.—as supply continues to tighten across the market.

Whats Special About The Bitcoin Conference Las Vegas 2025

Bitcoin | Editor Choice

What’s Special About the Bitcoin Conference Las Vegas 2025?

The Bitcoin 2025 conference in Las Vegas, taking place from May 27 to 29, features many prominent and influential speakers in the investment and finance sectors.

Trump Media Raises $2,5 Billion To Invest In Bitcoin

Bitcoin | Editor Choice | Policy & Regulations

Trump Media Raises $2.5 Billion to Invest in Bitcoin

Trump Media and Technology Group (TMTG) has officially completed a $2.5 billion fundraising deal to invest in Bitcoin from 50 investors and organizations.

Vaneck Proposes U.s. Legislation To Increase Bitcoin Reserves

News | Bitcoin | Editor Choice

VanEck Proposes U.S. Legislation to Increase Bitcoin Reserves

Experts and U.S. lawmakers believe that building a strategic Bitcoin reserve should be carried out through congressional legislation to ensure long-term sustainability and avoid legal challenges.