Bitcoin remains incredibly bearish amid negative market headwinds, but that hasn’t stopped investors from taking positions at the time. These gigantic investors, who own over $600,000 worth of Bitcoin, have been accumulating BTC at an accelerated pace over the past six months.
Bitcoin Holders Escalate Their Wallet Balance
Santiment’s on-chain data tracking platform recently revealed that Bitcoin investors have increased their holdings over the past six months. According to a report published on X (formerly Twitter), the main group involved in this purchase are wallets with more than 10 BTC in their wallets.
The report shows that these holders have increased their combined holdings by 1.07% over the past six months. While this may seem like a diminutive raise, it means that these wallets have added over 5,000 BTC in half a year.
The trend that has continued throughout this accumulation is that buying has increased every time the price of Bitcoin has fallen. For example, in early May, when the price of Bitcoin was falling, these wallets increased their buying.
This time, as BTC struggled to maintain the $60,000 level, they began buying again. Santiment’s data shows that their holdings have increased dramatically over the past month, reaching a total of 16.17 million BTC held in these wallets.
USDT and USDC Holdings Support Accumulation Theory
One thing that also suggests that these whales have been aggressively buying Bitcoin over the past six months is the change in holdings of USDT and USDC in wallets. Typically, investors hold these stablecoins to avoid market volatility and wait for better prices.
However, when prices are low enough, they start buying, and this buying translates into a decrease in their stablecoin holdings. For example, the Santiment report indicates a decrease in the USDT and USDC holdings of sharks and whales holding between $100,000 and $1 million, although USDT holdings suffered more.
These gigantic wallets’ USDC holdings have fallen by 1.99% over the past six months, bringing their holdings to 34.2% of the current supply. Meanwhile, their USDT holdings have fallen by 5.37% over the same period, bringing their holdings to 30.3% of the total supply.
This shows the willingness to buy Bitcoin at such low prices in anticipation of a price rebound. If this buying continues, it could create much-needed support for the BTC price at $60,000, increasing the likelihood of a price rally from there.
Featured image created with Dall.E, chart from Tradingview.com