Bitcoin’s price has fallen after rising as high as $71,000 last week on news of the Ethereum ETF’s approval. Shortly after the price surge, the top cryptocurrency saw a correction to $67,000 and appears to have returned to the consolidation range.
Interestingly, Bitcoin whales seem to be waking up from their slumber as they have been loading their bags with significant amounts of BTC over the past few days. This begs the question – can the whales’ returning appetite push Bitcoin to a novel record high price?
Is a return to the all-time high imminent?
Pseudonymous analyst shared on CryptoQuant Quick post that Bitcoin whales are showing an increased appetite for purchases and are becoming energetic in the market again. The relevant indicators here are total whale stocks and a moving average tracking the 30-day percentage change in the balance.
Whales are entities (individuals or organizations) that hold significant amounts of cryptocurrency (usually at least 1,000 BTC in this case). Due to the size of their holdings, whales can often influence price changes and market dynamics through their activities.
In the Quicktake post, the network analyst noted a recent escalate in the monthly percentage change in whale address ownership and a steady escalate in the total whale balance. A pseudonymous expert said:
The whales’ appetite to buy Bitcoin has made a powerful comeback after a two-month decline in buying interest since March.
In the above chart, it was observed that Bitcoin whales increased their holdings by over 11% in March when the BTC price reached a novel all-time high of $73,737. However, BTC’s accumulation rate stabilized in April, with the 30-day percentage change dropping to around 3% by the end of the month.
Bitcoin accumulation appears to be increasing in May, with the monthly percentage change returning to over 5% as of May 24. A CryptoQuant analyst said in the post:
They [whales] they are now back with powerful purchasing power, indicating that current prices are suitable for purchases and accumulation despite widespread fear.
If BTC accumulation by whales returns to March levels, there is an increased likelihood that Bitcoin’s price will return to, and perhaps even exceed, its current all-time high. This prediction is even more credible considering the main cryptocurrency hit a novel high the last time whales accumulated BTC at this rate.
Bitcoin price at a glance
At press time, Bitcoin is trading at around $69,216, reflecting an escalate of just 0.8% over the last 24 hours.
Featured image from iStock, chart from TradingView
