Last month was the worst month for bitcoin (BTC) since November 2022: it registered the first red month of the year. While the turn of the year can be seen as a tipping point for the bitcoin price, it has been a while since bitcoin has shown its best side again. Since the end of March, the price has been moving sideways to some extent and the overall crypto trading volume on crypto exchanges is currently even at its lowest point since October 2020.
The current state of the market is a reason for many to sell their bitcoin, but the whales seem to see the current prices as a good buying opportunity.
BTC whales accumulate
Crypto analytics company Glassnode showed in a tweet yesterday that the BTC whales are currently swimming against the current. While the other cohorts are all selling, the whales are theirs holdings just expanding.
An interesting dichotomy across the #Bitcoin Accumulation Trend Score persists, as the largest of Whales (>10K BTC) continue to aggressively accumulate, whilst all other major cohorts experience heavy distribution. pic.twitter.com/1EMjz6yRHJ
— glassnode (@glassnode) June 3, 2023
When a wallet holds at least 10 thousand BTC, it can be categorized as a whale, according to Glassnode. Despite the broader market trend, this group of large owners is therefore showing an optimistic sentiment by steadily expanding their holdings.
Thus, the big investors see bitcoin’s current price level as an attractive entry point, while others take the opportunity to secure profits.
Bitcoin price increase imminent?
Recently you could also read in the Bitcoin news that the reserves of the bitcoin miners had increased considerably in the past week. Since the turn of the year, the total holdings of the miners had decreased considerably, but the significant increase in reserves may indicate a real trend shift.
Since the miners have a large pile of bitcoins, it is very bad bullish if they choose to hold their BTC.
While the financial markets are breathing a sigh of relief after the approval of the debt ceiling deal, the BTC price is still moving sideways. Whether bitcoin will catch up may depend on the next interest rate decision, which will be announced on June 14 during the Federal Open Market Committee (FOMC).