- BTC accumulation by major wallets continued to rise despite price stagnation.
- Interest in the Bitcoin ecosystem waned.
Bitcoin [BTC] has been stagnant at the $66,000 price point for quite some time. Many investors have seen this as an opportunity to accumulate large amounts of BTC.
Whales pile up
According to Santiment data, the number of wallets holding 10 or more Bitcoin peaked two years ago. Interestingly, that same level of ownership has been observed again.
This time, however, the landscape is very different. Bitcoin’s market value has increased by as much as 226%.
Some speculate that the now-defunct FTX exchange manipulated cryptocurrency prices in late 2022.
However, since the collapse in November that year, a trend has emerged. There appears to be a correlation between the number of wallets holding more than 10 BTC and the total market value of the coin.
This renewed interest from these whales could be a sign of bullish sentiment, suggesting that they still view Bitcoin as extremely undervalued despite the high prices.
It also indicated that they are accumulating in anticipation of future price increases. Their large interests give them the power to influence market sentiment.
If they continue to accumulate, it could increase demand and drive the price up even further.
It’s also possible that these whales are simply taking advantage of the current price to rebalance their portfolios, which doesn’t necessarily indicate a bullish long-term outlook.
Furthermore, if these whales decide to sell their assets in a coordinated manner, this could trigger a significant drop in prices.
Source:
At the time of writing, BTC was trading at $66,187.79 and the price had fallen by a paltry 0.04%.
Some reasons for concern
Although BTC’s price movement remained relatively stable, interest in Bitcoin’s ecosystem waned. One of the key indicators of this has been the decline in interest in Bitcoin NFTs.
Over the past month, NFT sales across the ecosystem were down 60.93%. Moreover, the number of buyers had also decreased by 50.1% during the same period.
Source: Crypto Slam
Read Bitcoin (BTC) price prediction 2024-2025
Additionally, the number of daily active addresses on the ecosystem has also dropped significantly from 700,000 to 613,000 over the past month.
This decrease in activity on the Bitcoin network could negatively impact the price of BTC in the long term.
Source: Santiment