In the ever-evolving landscape of the cryptocurrency market, Bitcoin whales and substantial investors have once again emerged as prominent players, sending ripples across the digital asset space. Recent findings from Santiment, a reputable crypto analytics platform, unveil a notable trend: these deep-pocketed investors are accumulating Bitcoin at an unprecedented rate, defying the bearish sentiments that have lingered throughout much of 2023. This resurgence in whale activity is capturing the attention of cryptocurrency enthusiasts, historically interpreting it as a harbinger of bullish times ahead.
In a surprising twist, WrappedBitcoin (WBTC), a token residing on the Ethereum blockchain backed by Bitcoin, is now witnessing a surge in whale transactions exceeding the $1 million mark. What’s particularly intriguing is that this surge mirrors patterns observed just before the crypto rallies in both March and June.
Concurrently, the WBTC network is experiencing substantial growth, a phenomenon not witnessed since July. Additionally, there is a conspicuous uptick in the creation of wallets holding 1,000 WBTC or less, suggesting increasing interest in this unique crypto asset.
🐳📈 #WrappedBitcoin is seeing its highest rate of $1M+ whale transactions since March, highest network growth since July, and a notable spike in 1-1K $WBTC wallets created. Similar increases were seen just prior to both the March and June #crypto rallies. https://t.co/wjiwLWNXki pic.twitter.com/dU4nTQ1oN4
— Santiment (@santimentfeed) October 5, 2023
The analysis conducted by Santiment divulges a staggering statistic: Bitcoin whales currently hold a colossal 13.03 million BTC, equivalent to an impressive 66% of the total circulating Bitcoin supply. This significant accumulation by whales serves as a strong indication of their anticipation of a potential price surge. Remarkably, it’s not just Bitcoin that’s under their watchful eye. Tether whales are also actively amassing assets, with holdings exceeding 15,030 million USDT, marking the highest level in six weeks.
🐳 #Bitcoin's sharks & whales, which we define as 10 to 10K $BTC wallets, have now accumulated to their highest amount held in 2023 (13.03M $BTC). Additionally #Tether sharks & whales are accumulating buying power. This is generally a #bullish combination. https://t.co/Lic2QBXSUw pic.twitter.com/dIcq1sUNJY
— Santiment (@santimentfeed) September 28, 2023
A central driver appears to be the growing interest in the approval of a Bitcoin Spot ETF by the U.S. Securities and Exchange Commission (SEC). Throughout this year, the SEC has been inundated with requests to give the green light to a Bitcoin Spot ETF, with even industry giant BlackRock submitting an application.
Despite the SEC’s measured approach due to concerns about market manipulation, whales seem unfazed, having acquired over $2 billion worth of BTC between June and July. Even in the past month, their acquisitions have not slowed down, with more than 11,600 BTC, valued at approximately $308 million, scooped up during a time when Bitcoin experienced a correction in its price.
As Bitcoin’s current price hovers around $27,557.95 , accompanied by a substantial trading volume, the cryptocurrency market continues to captivate both seasoned investors and newcomers alike. The actions of Bitcoin whales may very well serve as a prelude to exciting developments on the horizon for the cryptocurrency ecosystem.
