Data show that large buyers were – sometimes called “smart money” (dt. smart money) – referred to in the last few months in the full Bitcoin-accumulation mode, wherein the number of the large investors just in the past week, multi-year highs reached.
From a macroeconomic point of view, these data metric provides investors with great hope, because it signals that one of the main Bitcoin investor groups is optimistic that the crypto-currency will eventually take a positive development.
But no matter how optimistic, this may be in the long run, it doesn’t change the fact that BTC has shown in the past few months, signs of technical weakness.
The number of Bitcoin whales shoots high in the midst of the market recovery on a multi-year
The decrease was 12. To watch the March – a day that is referred to by investors as “Black Thursday”. He brought the crypto markets to falter, which led to a widespread capitulation among the small investors and at the same time, the vast majority of Margin traders from the market has pushed.
The decline was not enough to shake the core of bitcoin investors composition, because the so-called “whales” have started in the period immediately after this event, at breakneck pace Bitcoin to accumulate.
This event is illustrated by the data, which were offered at the beginning of the month of the Blockchain-analysis-platform Glassnode,. Accordingly, the number of large Bitcoin has achieved investors in little more than a week, a two-year high.
“The number of the BTC whales continues to increase and reached 2-year highs – the last Time we saw so many whales during an accumulation phase, was 2016. This is interesting if we compare it with the recent halving of the Bitcoin.“
It is sufficient to give Bitcoin in the short term, the needed boost?
Although there is a historical correlation between the accumulating investors and Bitcoins remarkable price is increased, it is still very likely that BTC in the coming weeks and months, a further downward trend, before a sustainable use upward movement.
With reference to the above data, crypto-analyst Cole Garner explains its 15,000 followers on Twitter that an increasing number of large investors in the “big picture” is bullish, but will not be sufficient to prevent BTC because its low levels between about 4,800 and 5,600 $ to break through.
“It’s bull-American *big picture*, but a Visit of the lows could come first. If we go down, I’m a buyer of $5.600 to $4.800.“
Since a strong decline in prices apparently increased buying activity by large investors follows, it is possible that this next potential decline will ultimately improve bitcoin’s long-term prospects, because he was still a trigger for higher rates of Accumulation.