Cryptocurrency

The “Buy the dip”: Bitcoin-whales accumulate BTC to a value of 108 million dollars – Coin Update

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Data aggregator Santiment according to Bitcoin have started to whales, to collect more Coins after the price of the Cryptocurrency fell below $ 9,500.Historical data show that wealthy crypto-trade owners in the short term with Bitcoin, in order to achieve maximum profits.These data suggest that a temporary price recovery could be in progress – they warn of a further downward trend, which is in front of us.
Since the Bitcoin on the 20. May has fallen below the 9,500 $brand, has the demand among wealthy crypto-gained-holders.
So, the crypto-currency analysis, has published Portal Santiment data showing a rise in the Bitcoin-accumulation in Wallets with more than 100 BTC. The data aggregators, according to whales have loaded “” additional 12,000 BTC in their Wallets, which at the current exchange rates, approximately $ 108 million.
Bitcoin whales collect since the end of April 2020, more BTC on | source: Santiment

Whales generally represent entities with crypto-currency holdings worth more than $ 1 billion. Observers often turn to your Bitcoin wallet in order to assess the short-term mood of the market.
However, if the number of Bitcoins rises in the Wallet of a whale, this signals an upward trend to a later date. If the volume drops, however, then this indicates a bear market.

The psychology of whales

Santiment commented that large Bitcoin holders have lately characteristics of Daytradern. Your addresses will show “a propensity to accumulate in Dips and unload your bags before short-term highs occur”.
This behavior manifested itself after the “Black Thursday” – the event is from 12. In March, the Bitcoin price of 7,969 $ to 4,346 $ has crashed. Because the price could finally to a low for the year of nearly 3.800 $, offered the significant downward movement whales the opportunity to buy Bitcoin at lower prices.
As a result, the increase in the balances in your BTC Wallets to $ 500 million. The increase followed a systematic and cautious downward trend, as the Bitcoin price rebounded back higher. Whales with more than 100 BTC sell part of their inventories when the price has reached a local High.
The rest of the BTCUSD has been limited by a long-term resistance trend, which now coincides with $ 10,000 together | source: TradingView.com Coinbase

Before the third “halving” of Bitcoin on 11. May began the balance to rise in parallel with the price. It crashed again after the price had tested for 10,000 dollars as a resistance, however, made about this value.
This shows that the whales were willing to increase their risk exposure over this level.
But a break below 9.500 $ triggered their accumulation mood.

Bitcoins Recreation

A purchase order in the amount of $108 million is not large enough to contain the bearish sentiment for Bitcoin to reverse. But it shows that whales take calculated risks to maximize your profits on a cash basis – particularly in the midst of a deepening global financial crisis.
The atmosphere could drive up the Bitcoin price in the short term, but it the fuel is missing to support a full-fledged rally, as long as the demand for cash remains higher.
In the meantime, sell the Miner, the Bitcoin blocks in the Blockchain to produce and validate your BTC reward after the halving. This could reinforce the prevailing downward correction mood in addition.
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About the author

Eve Manning

Eve Manning

A native Texan, Eve first started out as a Finance Analyst and later realized that her true passion was not in trading but in writing. She leverages her experience in the Finance industry to analyse and write in-depth news articles covering the Cryptocurrencies, Economy & Finance industries.

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