Crypto Whales Accumulating Bitcoin Amid FTX Crash: Analysis
FTX Crash: Sam Bankman-Fried’s FTX triggered collapse has left the digital asset market red. Bitcoin (BTC) and Ethereum (ETH) prices have suffered a decline of over 15% due to the fall of the FTX. However, experts have found out that crypto whales are accumulating BTC amid this crash.
FTX crash helping whales to add more
According to Dan Lim, an analyst at CryptoQuant stated that after the FTX crash, the exchange reserve of Bitcoin has dropped significantly. He highlighted that it has been due to anxiety about exchange debacles. The current global economic situation has also worsened.
Due to recent conditions, most traders and investors are predicting a market decline in the short-term as well as the mid term.
The FTX triggered collapse went to vanish more than $100 billion from the crypto market. The total market capitalization now stands at $847 billion.
As per the data, the whales have been buying Bitcoin amid the market crisis. He hinted that whales accumulating Bitcoin for a long time. The decline in the BTC price is allowing them to add more.
Looking from per long term -perspective the crypto market and economic conditions are not looking good, mentions an expert. Whale going on the Bitcoin buying spree is a wise move in these conditions. However, he drops that it’s not advisable to buy Bitcoin here. Investors need to respond as per the conditions.
Whale holding on a peak
Bitcoin prices are down by 15% over the past 7 days. BTC is trading at an average price of $16,949, at the press time. Its 24 hour trading volume stands at $37.4 billion.
As per Glassnode, the shrimp (holding 1BTC) have added 33.7k BTC only this week. This has resulted in a 30 day increase of 51.4K Bitcoin. The increase in the level of balance inflow is the 2nd largest in history. It surpassed the peak of the 2017 bull market.
While the Crab (holding 1 and 10 BTC) showed a more aggressive approach. They bought 48.7K Bitcoin off exchanges. This approaches the acquisition rates in line with the 2017 bull market peak. Whales holding more than 10 BTC now command over 15.91 of the circulating supply.
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