In many cases, large investors know what they are doing better than small investors. After all, they have a lot to lose and are therefore more willing to do research than small investors. On-chain data shows that there are huge differences in where whales’ money is compared to the ‘little money’.
Big investors have a lot of Ethereum
The information on blockchains state is in many cases public. This allows analytics companies to extract useful details from the data. This way you can determine where major investors have invested their money. From dates of IntoTheBlock shows that large investors as much as 39% of all Ethereum (ETH) in their possession.
‘Large Investors’ divides IntoTheBlock into two groups. The whales own at least 1% of the outstanding tokens, the group the company calls “investors” own 0.1% to 1%. That is still a lot of money for most people.
0.1% of all ETH is currently 120,482 ETH, which is worth more than 186 million euros at the time of writing. So you don’t just fall into this category. It must be said that there is no single definition for ‘whale’. Many other analysis bureaus set the minimum limit bitcoin (BTC) for example at 100 BTC. At the moment that is ‘only’ worth 2.2 million euros.
Whales have less Bitcoin, but more Polygon?
It also turns out that the same class of ‘big investors’ is relatively much less sitting in bitcoin. According to on-chain data, that group is only 11%. You’d maybe think it’s the opposite.
At first glance, Bitcoin is much more attractive to institutions, for example because institutions often use the many regulated Exchange Traded Funds (EFTs). Apparently that is much less the case. It will also help that Bitcoin’s market value is much greater. So you need more money to have the same percentage of all bitcoins.
Also note that Polygon (MATIC) and Dogecoin (DOGE) are extremely popular with large parties. According to IntoTheBlock have 13 whales own 70% of the MATIC tokens, and the ‘big investors’ group even owns 85% of the outstanding coins. For Dogecoin, this is 46% and 65% respectively.