A recent report has shown that Bitcoin whales and long-term holders are actively buying up over $1 billion worth of BTC daily, following a significant drop in mid-May. The report indicates that this group is unlikely to sell off their holdings as their unrealized profit ratio has reset to 0%.
Bitcoin whales and long-term holders are making significant moves, splurging an average of a billion dollars daily, as BTC tested $72,000 recently. Currently trading at $71,220, Bitcoin has seen a slight increase in the past day, with trading volume up by 15%. Although it briefly dropped to $70,300, it quickly regained momentum and reached a monthly high of $71,875 before experiencing a slight dip of 1% in the last hour. Bitcoin is up by 3.6% on the weekly chart and 11.6% on the monthly chart.
According to Crypto Quant, the recent surge in Bitcoin can be attributed to the actions of whales in the market. In mid-March, as Bitcoin reached a new high, both permanent holders and whale holdings reached new peaks. However, after hitting its all-time high, many whales sold off their holdings, causing a decrease in the trend. The data from Crypto Quant shows that the trend stabilized in early May and has been steadily increasing since then, with permanent holders accumulating over 70,000 BTC in the past month.
One significant method of BTC accumulation for whales has been through Bitcoin ETFs. Recent reports show that ETF inflows reached $880 million, the second-highest single-day record ever, followed by an additional $400 million the next day. This has been a significant source of demand for Bitcoin this year.
Despite the active role of whales in the market, Crypto Quant believes that there is currently no risk of a massive sell-off, as the whales have already sold their tokens and taken their profits. This is supported by the fact that unrealized profits are low at 3%, compared to 69% in early March, indicating that heavy selling pressure has diminished.
With the support of institutional investors, Bitcoin is poised to retest its all-time high soon. Some experts, like Roverk Kiyosaki, even predict that Bitcoin could surge fivefold by August, with a target of $350,000 by 2024.
