March 10, 2021 | AtoZ Markets – As seen in recent weeks, the demand for Bitcoin is not in short supply. In the latest frenzy Bitcoin whales, a term used to describe those that hold large amounts of the digital asset, have what is known in the crypto arena as “bought the dip”. In an update on March 9th on-chain analytics service Material Indicators highlighted that buy orders reached $100,000 and higher and are reaching new all-time highs.
Larger buyers are taking a front seat and are more frequent than ever before in Bitcoin’s history. There has been a decline in the number of smaller allocations, matching the existing narrative, this suggests that larger institutions are scooping up liquidity on crypto exchanges that has emerged in this recent bull run.
It was stated by Material Indicators that “The $100k-1M class is also about to reach a new ATH. In this series of tweets Material Indicators aired concerns on the strength of Bitcoin’s upward rally. Further citing that “whales could sell into” the upward trend and the patterns that existed around the new all-time highs of at $58,000 could be repeated.
Although we are yet to witness this occurrence analysts have highlighted certain macroeconomic factors that could affect bitcoin buying. In light of the US announcement on the $1.9 trillion stimulus package being passed by the senate there was a decline in whale orders. Where we seen the opposite effect in China’s support regarding tech stocks.
Whales Make the Move
Elsewhere, Twitter-based crypto transaction tracker Whale Alert emphasized that the activity of crypto whales had hit a “fever pitch”, as big investors move over 18,500 worth of Bitcoin (nearly $1.02 billion) to unknown wallets.
The largest of the transactions recorded was the relocation of 4,953 BTC ($266 million) from one unknown wallet to another. Other noted transactions included the transfer of 3,000 Bitcoin (161 million) from Bitstamp to an anonymous wallet and the shift of 5,486 BTC ($295 million) from a big HODler again between to unknown wallet sources.
It’s not a first but moves such as these are rare in the crypto space, with experts stating high demand from institutional players as the reason for the shifts. Furthermore, it is believed that these sudden moves may have triggered the bullish momentum that has been circulating the BTC market the past 2 days. At the time of writing BTC trades at $55,965, a two-week high for the crypto. As momentum increased and interest strengthens traders are optimistic for the $60,000 level.