- The price of Bitcoin has risen by 9.06% over the past week
- Bitcoin whale activity has increased over the past week, driving the most recent rally
Bitcoin last week [BTC] has maintained its one-month bullish momentum on the price charts. At the time of writing, it was trading at $68.3k thanks to a monthly gain of 10% and a weekly gain of 9%.
However, despite the aforementioned gains, it’s worth pointing out that the crypto is still 7.27% below its ATH from earlier this year.
But that’s not all, because when BTC made significant gains, whales were the driving force behind it.
Are Bitcoin Whales Driving the Wave?
According to SantimentBitcoin whales saw an exponential increase as BTC fell to $59,000 on the price charts.
Source: Santiment
From October 10 to 13, 268 additional wallets began holding between 100 and 1,000 BTC. This analysis suggested that whales played a role in the prevailing rally that Bitcoin is a part of. What this means is that without whale capital inflows, the weekly rally we’ve seen most likely wouldn’t have happened.
So, during the dip, whales turned to accumulation, indicating their confidence in the future value of the crypto.
When whales increase their holdings, it usually signals a potential bullish trend. Therefore, the continued price movement was partly driven by an increase in whaling activity.
What does the Bitcoin graph say?
Whales play a crucial role in cryptocurrency price movements.
As such, a rise in whale accumulation is a sign of positive market sentiment, with sophisticated investors expecting the value of the crypto to rise further.
Therefore, these prevailing market sentiments could see BTC making more gains on the charts.
Source: Coinglass
For example, Bitcoin’s Long/Short ratio has remained above 1 for the past 24 hours. At the time of writing, this ratio stood at 1.023.
This implied that long position holders dominated the market.
Source: Santiment
Furthermore, Bitcoin’s MVRV Long/Short differential rose from a low of 3.59% to 5093% over the past week. This can be seen as a sign that long-term investors are making a profit.
Because the MVRV for long-term holders was greater than that for short-term holders, this underlined confidence in the market’s longer-term prospects.
Source: CryptoQuant
Finally, Bitcoin’s Fund Flow Ratio reached a monthly high of 0.15. Simply put, this suggested that BTC is now experiencing higher buying pressure than selling pressure.
Read Bitcoin’s [BTC] Price forecast 2024–2025
Therefore, investors accumulate BTC and express their confidence in the market.
Right now, given the favorable position of investors and market sentiment, BTC is in a good position. If the trend continues, the crypto will regain $70,000 in the near term.