Sometimes they play against the bulls, sometimes they are in their camp. Whales fill up on Bitcoin (BTC) for less, profiting from the crash.
Whales fill their bellies
As retail investors panicked and massively liquidated their Bitcoins after the about-face ofElon musk and the announcement by the China yet another repression against the BTC, the data of Chainalysis show that the whales took advantage of the crash to stuff themselves with Bitcoins.
TheChief Economist of Chainalysis, Philip gradwell, indicates in its last report, that the whales have acquired 77,000 BTC during the week of May 17, 2021.
Institutional investors therefore seem to have bought the lows, with a BTC which even made the $ 30,000 shake briefly on May 19, 2021.
On the same day, the CEO of MicroStrategy, Michael saylor, announces that all entities under its control have acquired around 111,000 BTC.
The report of Chainalysis indicates that the week of May 17, 2021 saw negative sales of $ 3.2 billion, Bitcoins acquired 4 to 13 weeks previously.
1.2 million BTC were liquidated with losses of 5% to 25%, 120,000 BTC were even sold at a loss at 25% or more.
Investors ETH had also had a tough week, with 22.6 millionETH sold at a loss, losses varying from 5% to 25%.
The old are the strongest
Recent data from Glassnode showed that 73.17% of the entities BTC remained profitable despite the recent crash of Bitcoin.
The losses mainly concern Bitcoins acquired over the past 3 to 4 months, when the HODlers have not parted from their Bitcoins purchased 1 to 3 years ago.
Bitcoin is trading at $ 35,646 at the time of writing. Despite the collapse of its price, Bitcoin has managed to stay above $ 30,000. The Bitcoin bull run that began in October 2020 is built on solid foundations. Institutionalists continue to believe in BTC as an inflation hedging asset for fiats. The bullish rally has certainly been abruptly halted, but it is far from over. Bitcoin appears to be going through a relatively long accumulation phase. The second wind of the bulls could thereafter quickly take the BTC towards the 100,000 $.
Fashion is good, but blockchain is the future, we agree, right ?! It’s a great opportunity and an evolving sector! On a daily basis, my job is to try to popularize cryptos / blockchains as well as possible, which appear to be far too technical.
The comments and opinions expressed in this article are those of the author alone, and should not be considered as investment advice. Do your own research before making any investment decisions.