Pioneering crypto asset Bitcoin (BTC) has exhibited significant price volatility. Despite falling slightly by 0.14% to $43,060.65 in the last 24 hours, the cryptocurrency remained in a range between $42,584.34 and $43,252.05. Amidst this volatility, an interesting trend has emerged regarding the behavior of Bitcoin whales, as reported by crypto analysis firm Santiment.
Differentiating Trends Among Whales
Santiment’s analysis highlights a distinct shift in the composition of BTC whales, pointing to a divergence in investment strategies among large-scale holders. On February 1, the number of whale assets holding 1,000 to 10,000 BTC increased to 1,958, the highest level observed since November 2022. This increase contrasts with the movement of smaller whales holding between 100 and 1,000 BTC, which fell to 13,735, the lowest number since November 2022.
This data points to growing interest among larger investors, with 47 new wallets added to this category in six days. Meanwhile, the smaller whale category saw a decrease of 157 addresses in the same period. The contrasting dynamics between these two groups of investors underscore the complex and multifaceted nature of the current BTC market; larger whales are increasing their holdings, while smaller whales are potentially looking to diversify their investments.
Impact of Spot Bitcoin ETF Products
Koinfinans.com As we reported, the BTC investment landscape changed significantly with the approval of spot Bitcoin ETF products by the United States Securities and Exchange Commission (SEC) in January. This development changed the accumulation dynamics in the cryptocurrency market and particularly affected the number of large Bitcoin whales.
Spot Bitcoin ETFThe launch of Bitcoin allowed mainstream investors to interact with Bitcoin in a regulated framework, contributing to the increase in the number of big whales. As these ETFs attract more investors, some of the proceeds are directed to purchasing Bitcoin, thus increasing the total number of large-scale holders. This mechanism allows ETF products to be traded through a traditional investment vehicle. cryptocurrency It shows there is potential for further growth in the number of BTC whales as they gain interest among investors looking to gain exposure to the currency.
