There has been a noticeable shift in sentiment and activity The big investors of Bitcoin also called whales, especially wallet addresses holding more than 100 BTC despite recent price fluctuations, sparking discussions about the next trajectory of BTC’s price.
A sharp increase in over 100 Bitcoin addresses
Recently reports from advanced investment and on-chain data platform Alphractal show that the number of Bitcoin wallet addresses holding more than 100 BTC has increased significantly, reflecting a growing accumulation of the digital asset among large-scale investors.
Despite recent declining market performance, the rise of over 100 BTC addresses highlights increased confidence in Bitcoin’s long-term potential, which is often considered a bullish indicator. This is because the development could reduce the amount of Bitcoin in circulation, causing price increases in the long term.
Data from Alpharactal shows that while the number of addresses with more than 100 BTC has increased significantly in recent days, the number of addresses with more than 10,000 BTC has gradually decreased. This shift cited within a period of accumulation is consistent with general market optimism about the crypto asset’s potential.
It is important to note that institutional players, miners, sharks and others are often considered owners of addresses holding more than 100 BTC. Meanwhile, crypto exchanges, funds, whales and long-term investors or holders are the main owners of wallet addresses with more than 10,000 BTC. “Other options may exist, but in general large exchanges hold the largest BTC addresses in terms of quantity,” Alphractal added.
Additionally, the platform noted that sharks have become increasingly active as Bitcoin approaches Price level of $100,000and interest at the institutional level has been noticeable recently. Due to increasing shark activity, many Bitcoins have moved from the largest wallet addresses to smaller ones, such as those holding 100 BTC or more.
So far, investors are keeping a close eye on the development as a substantial accumulation of addresses holding more than 100 BTC usually correlates with Bitcoin’s price action. When these holders continually accumulate BTC, the asset is often seen notable upward price movements.
New investors realized ceiling shoots up
Although the price of BTC has faltered in recent days, the realized capitalization of new investors has increased sharply, showing renewed interest and confidence in the crypto asset. This significant increase suggests that these investors are continually accumulating Bitcoin in anticipation of a near-term rally.
Reports from Axel Adler Jr, an on-chain and macro researcher show that the realized limit for new investors holding BTC for up to a month has exceeded a whopping $343 billion, marking an increase of more than 909% since the start of the cycle. Simply put, all the coins that long-term holders are selling are being bought by newcomers.
Featured image from LinkedIn, chart from Tradingview.com