Bitcoin Whale Accumulation Mirrors 2020 Bull Run | BITmarkets
Insights Trends Bitcoin Whale Accumulation Mirrors 2020 Bull Run

Bitcoin Whale Accumulation Mirrors 2020 Bull Run

October 21, 2024 Trends
BITmarkets | Bitcoin Whale Accumulation Mirrors 2020 Bull Run

With Bitcoin approaching the $70,000 mark, whale wallets are accumulating BTC at a pace reminiscent of the period from July 2020 to January 2021, when Bitcoin surged by 550%.

According to Woominkyu, a verified author on CryptoQuant, this historical pattern is generating excitement among investors about the possibility of a significant BTC breakout.

The current Bitcoin whale ratio on spot exchanges is similar to the ratio observed in July 2020, following the COVID-induced market crash in March.

The author pointed out that whales are continuing to accumulate BTC despite short-term price fluctuations, positioning themselves for a long-term price increase. In an X post, Woominkyu noted:

“Whales are ready to welcome "FOMO" by dumb money.”

Previously, Cointelegraph reported that whale wallets had accumulated over 1.5 million BTC in the last six months, with each wallet holding more than 1,000 BTC, equating to $68 million at the current value.

CryptoQuant CEO Ki-Young Ju highlighted that new whale wallets, with an average coin age of less than 155 days, have reached a new peak of 1.97 million BTC.

A key distinction between these whale wallets and those on spot exchanges is that these are non-miner wallets and are possibly custodial. Regarding the net-return of these wallets, Young-Ju stated:

“Their BTC balance surged 813% YTD, taking up 9.3% of the total supply, valued at $132B today.”

While whale wallets indicate a positive outlook for the future, long-term holders and miners may continue to apply some resistance to Bitcoin’s price.

IT Tech, an on-chain analyst at CryptoQuant, suggested that long-term holders might be stabilizing or taking profits.

Additionally, miners’ profit sustainability has improved recently, which means they are adjusting payment periods, often aligning with Bitcoin price peaks.

However, the analyst also noted that short-term holders are moving toward accumulation, suggesting the market could absorb potential selling pressure.

The analyst remarked:

“Monitoring STH, LTH, and miners is crucial. Shifts here can impact BTC’s next move as the market watches for renewed accumulation or profit-taking.”

Sources:

https://cointelegraph.com/news/bitcoin-whales-current-accumulation-trend-emulates-2020-2021-s-550-rally

https://x.com/Woo_Minkyu/status/1847116097717416231

https://x.com/ki_young_ju/status/1846556017880146040

https://cryptoquant.com/insights/quicktake/6711139ffb0ff075544ce00b-Rally-or-Trap-Long-Term-Holders-and-Miners-Might-Have-the-Answer

Join

Try to invite your friends and earn together

10% of trading fees of your friends and 5% from the earnings of your friends.

We use cookies to store, access and process personal data to give you the best online experience. By clicking Accept Cookies you consent to storing all cookies and ensure best website performance. You can modify cookie preferences or withdraw consent by clicking Cookie Settings. To find out more about cookies and purposes, read our Cookie Policy and Privacy Policy

Cookies settings


Cookie Control


What are cookies?

Cookies are small text files that enable us, and our service provides to uniquely identify your browser or device. Cookies normally work by assigning a unique number to your device and are stored on your browser by the websites that you visit as well as third-party service providers for those website. By the term cookies other technologies as SDKs, pixels and local storage are to be considered.


If Enabled

We may recognize you as a customer which enables customized services, content and advertising, services effectiveness and device recognition for enhanced security
We may improve your experience based on your previous session
We can keep track of your preferences and personalize services
We can improve the performance of Website.


If Disabled

We won't be able to remember your previous sessions, that won't allow us to tailor the website according to your preferences
Some features might not be available and user experience reduced without cookies


Strictly necessary means that essential functions of the Website can not be provided without using them. Because these cookies are essential for the properly working and secure of Website features and services, you cannot opt-out of using these technologies. You can still block them within your browser, but it might cause the disfunction of basic website features.

  • Setting privacy preferences
  • Secure log in
  • Secure connection during the usage of services
  • Filling forms

Analytics and performance tracking technologies to analyze how you use the Website.

  • Most viewed pages
  • Interaction with content
  • Error analysis
  • Testing and Measuring various design effectivity

The Website may use third-party advertising and marketing technologies.

  • Promote our services on other platforms and websites
  • Measure the effectiveness of our campaigns