Due to their size, they make noise and influence the price of Bitcoin (BTC) as soon as they make a movement. Do whales rule the law in BTC markets?
They have an important role to play in the current race towards a new ATH. Many bitcoiners seem to want to keep their BTC warm for now, despite its price rising 36% over the past 35 days.
New whales in the Bitcoin ocean
According to data from Glassnode, the number of whales BTC just hit a new ATH alongside the bullish rally in BTC of these last days.
On October 20, 2020, Glassnode listed 2,178 addresses with at least 1,000 BTC. As of October 25, 2020, this number has reached 2,231.
At the current price, 1,000 BTC are worth over $ 13 million. Whales are believed to control at least 2.23 million BTC, which would represent 12% of the supply in circulation.
Statistics BitcoinCharts indicate that the total of BTC held by these addresses would be 7,902,469, or 42% of the total quantity.
However, it is impossible to precisely identify the individuals or entities behind these addresses.
Multiple addresses can belong to a single entity while one address can be controlled by many entities with a multi-signature wallet.
Bitcoin, this immobile crypto
Some researchers argue that the creator of Bitcoin, Satoshi Nakamoto, would have 1.1 million Bitcoins under his control. This hypothesis is based on the fact that these Bitcoins have never been moved.
Along with the increase in the number of whales, the percentage of Bitcoin not traded is on the rise.
62% of the supply has not budged for a year; in addition, 1/3 of the tokens have not changed addresses for more than 3 years.
Although the course of Bitcoin recorded its highest weekly close since 2018, the hodlers and whales seem unwilling to part with their holdings.
Bitcoin approached $ 14,000 on October 28, 2020. Will the whales continue to support its ascent or will they instead pull all their weight down to pull it down? With a JP Morgan who sees a Bitcoin at 130,000 USD, it is no wonder that bitcoiners are attached to their “babies”: 13,800 USD that could be tempting but less than a price multiplied by 10. In short, 130,000 reasons for be patient for smart bitcoiners.
Litecoin, welcome in the Silver Age