On-chain data shows that Bitcoin, XRP, and other top cryptocurrencies have recently seen significantly less activity from whales compared to the beginning of the year.

Bitcoin, XRP Among Assets Seeing Decline in Whale Transactions

In the fresh fasting In Article X, on-chain analytics firm Santiment discussed the latest trends in Whale Transaction Count for various top coins in the sector.

“Whale Transaction Count” here refers to an on-chain metric that tracks the total number of transfers made on a given cryptocurrency network worth $100,000 or more.

Transactions of this scale are believed to be carried out by whales, so the number of whale transactions reflects the scale of activity in which these massive entities participate.

When the indicator value is high, it means that whales are currently making a enormous number of moves. Such a trend means that enormous players are actively interested in trading the asset.

On the other hand, a low rate could mean that whales are not paying much attention to the cryptocurrency as they are not taking much action on the blockchain.

Here is a chart showing the trends in Whale Transaction Count for the five most popular cryptocurrencies: Bitcoin (BTC), XRP (XRP), Ethereum (ETH), Cardano (ADA), and Toncoin (TON) over the past few months:

As shown in the chart above, the number of Whale transactions was quite high for Bitcoin and Ethereum in March. Specifically, between the 13th and 19th of the month, BTC and ETH saw around 115,000 Whale transfers.

This high level of whale activity came just after Bitcoin reached an all-time high (ATH), suggesting that holders of enormous sums of money may have been taking action to benefit from the rally.

In the months since then, the indicator has seen a fairly significant drop. Bitcoin recently recorded 60,000 whale transactions, while Ethereum’s decline was even more significant, with the indicator sitting at just 32,000.

Cryptocurrencies like XRP and Cardano did not see as much whale activity in March as the two most popular cryptocurrencies, but the level of activity back then was noticeably higher than it is today, suggesting that whales across the sector have paused their trading activities.

In terms of what this could mean for different assets, the lack of whale activity could lead to a more sedentary market, as it’s the high volume from these entities that’s driving volatility. So Bitcoin and other coins could continue to see consolidation as long as the whales remain in place.

BTC price

Yesterday, the value of Bitcoin dropped to the level of $57,000, but today it has increased and the value has returned to around $59,000.

Featured image from Dall-E, Santiment.net, chart from TradingView.com