- Bitcoin trading volume increased by 37.72%, while prices rose by 1.48% in 24 hours.
- Three whales collected 2,814 BTC worth $157.3 million.
In recent months, the crypto market has experienced extreme volatility. In the midst of this, Bitcoin [BTC]the largest cryptocurrency, has suffered the most. Over the past 30 days, BTC has fallen by 9.14%.
At the time of writing, BTC was trading at $55182. This marked an increase of 1.48% in the past 24 hours. During the same period, Bitcoin trading volume increased 37.72% to $22.6 billion.
Moreover, the market capitalization increased by 1.47% to $1.09 trillion.
Prior to these gains, the crypto experienced a sustained decline, falling 5% over the past week.
This market dip has created a favorable environment for large investors to buy the dip. When prices drop, whales tend to pile up, hoping to sell at a profit.
As far as, Look at chain has revealed how whales turned to accumulation during the dip.
Whales buy the dip
In their report, Lookonchain exposed whale accumulation activities. According to the report, three whales bought the dip by accumulating 2,814 Bitcoins worth $157.3 million since September 1, 2024.
Through its X page (formerly Twitter), Lookonchain reported that:
“Whales Collect $BTC After Market Drop! Since September 1, 3 whales have collected ~2,814 $BTC ($157.3 million) from #Binance at an average price of $55,887.”
Source: Lookonchain
For context, buying whales during market downturns indicates confidence in the long-term confidence of the asset.
When markets underperform, whales use this as an opportunity to multiply at lower prices in anticipation of future profits.
This encourages other investors to enter the market, stabilizing the market and reversing the trend.
What Bitcoin’s Charts Suggest
As Lookonchain notes, whale activity has increased over the past week.
Source: CryptoQuant
This is further supported by the declining fund flow ratio
. According to Cryptoquant, the fund flow ratio has fallen from 0.08 to 0.04 at the time of writing, indicating that whales were accumulating assets through exchanges – a bullish signal.
This indicated investor confidence in Bitcoin’s future prospects.
Source: Coinglass
Moreover, over the past three days, liquidation of short positions increased to $38.5 million, while liquidation of long positions decreased to $7.3 million.
Thus, those who bet against the market were forced out of their positions, while long position holders were willing to pay a premium to hold their trade.
Such a scenario suggests that markets rose, liquidating those that were betting on a downturn.
Source: CryptoQuant
Finally, Bitcoin’s net realized gain and loss has fallen from -297.2 million to -68.3 million at the time of writing. Although the NRPL was still negative, it fell dramatically, indicating that buyers are entering.
Read Bitcoin’s [BTC] Price forecast 2024–2025
This accumulation of whales or institutions helps stabilize the market through buying activity.
Therefore, based on the increased buying activity due to whale activity, BTC is well positioned for further gains. If current market sentiment continues, the BTC trend will reverse and reach $58272.