- BTC’s whales have been gradually reducing their holdings since April.
- Despite the decrease in whale accumulation, the coin remains a profitable asset.
Like that of Bitcoin [BTC] price continues to encounter resistance at the crucial psychological price level of $30,000, whaling has experienced a slight decline, data from Sanitation showed. According to the on-chain data provider, while the number of “shark wallets” has steadily increased over the past 60 days, “whale wallets” have declined over the same period.
🐳🦈 #Bitcoin has surged back above $30,000 this weekend and it is recommended to keep an eye on the number of major addresses as the summer progresses. If the 100+ $BTC wallet line starts rising again, a new breakout increases the probability tremendously. https://t.co/qKgrKeCHxL pic.twitter.com/g9A4i6ApFE
— Santiment (@santimentfeed) July 23, 2023
Read Bitcoin [BTC] Price Forecast 2023-24
Different cohort, different vibes
According to Santiment’s Supply Distribution metric, the different holders of BTC are divided into wallet groups. This metric measures the total amount of BTC each wallet group currently holds. For example, the 1-100 coin cohort includes all wallets holding between 1 and 100 BTC at any relevant time.
These portfolio groups are further divided into ‘shrimp’, ‘shark’ and ‘whale’. In this classification, “shrimp” are characterized as holders of less than one coin, “sharks” represent holders of 1 to 100 coins, and the term “whales” is used to describe addresses containing 100 coins or more.
Per data from Sanitation, shark wallets have increased in number over a six-month period. With a total of 993,000 wallets holding between 1 and 100 BTC at the time of writing, their number is up 3% since the start of the year.
Conversely, the number of whale portfolios started falling in April and has since fallen slightly by 1%. At the time of writing, this cohort of BTC investors consisted of 15,851 addresses.
Source: Sentiment
BTC whales, where are you?
BTC was trading below USD 30,000 at the time of writing. Per data from CoinMarketCap, the number one cryptocurrency that changed hands for $29,793. Over the past month, the coin oscillated within a very narrow range, only briefly managing to trade above $31,000 on July 13.
There is a strong correlation between increased whale activity and a jump in the price of BTC. As noted by Santiment, “If the 100+ $BTC wallet line starts to rise again, the chances of another breakout increase dramatically.” Therefore, a rally in BTC whale holdings may be necessary before BTC moves above $30,000.
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Interestingly, while the market continued to trade sideways, BTC remained a largely profitable investment for many. Data from Santiment showed that the asset’s market value to realized value (MVRV) ratio was above midline at 48%.
If all BTC holders at this MVRV value sold their coins at the current price, they would generate an average profit of 48%.
Source: Sentiment