Bitcoin whales (BTC) appear to be selling to institutions as supply pressures rise below $ 20,000.
Data from various sources shows that while more BTC returned to the exchanges this week, large buyers are still creating more demand than supply can satisfy.
Exchange rate inflows and grayscale buy-ins
Statistics from on-chain analytics service Coin98 confirmed that investment giant Grayscale bought twice as much bitcoin as miners could create in November.
Along with Square and PayPal, the other big corporate players in need of more and more BTC stocks, Grayscale is creating a supply imbalance where price gains are the only logical outcome.
This scenario prepared the conditions for December. Grayscale purchases continued and totaled over 7,000 BTC in just 24 hours as Bitcoin assets under management top 10.5 billion as of December 4th.
At the same time, Bitcoin broke all-time highs this week and challenged $ 20,000 only to meet massive selling pressures.
After BTC / USD bounced off lows of $ 18,100 and hit $ 19,000 again, things look good for another test of the landmark levels, but the sales momentum remains unusual. With $ 20,000 selling walls, longtime humors and whales looking to get out have reliable buyers in the form of Grayscale and other institutions.
There is evidence that whale inflows to exchanges are increasing this week, coinciding with the $ 20,000 trial. Should the sale already keep prices down, BTC should find its way from whales to the stronger hands of Grayscale and its customers.
CNBC: The rich are “charging” Bitcoin
The phenomenon has even caught the attention of the mainstream media.
“The total number of accounts that buy more than $ 1 million worth of bitcoin and then withdraw it has skyrocketed,” CNBC reported Thursday.
“That’s up 180% from 2017 through this year. Analysts say signals that wealthy investors load onto Bitcoin and then save it offline to store in a slightly safer place.”
At the same time, overall Bitcoin addresses hit new record highs in profit versus inserting coins on Friday, according to the latest data from Glassnode. News broke on Wall Street Thursday that Bitcoin and hundreds of altcoins would create new cryptocurrency indices from S&P Dow Jones Indices from January 2021.
At the same time, overall Bitcoin addresses hit new record highs in profit versus inserting coins on Friday, according to the latest data from Glassnode.
News broke on Wall Street Thursday that Bitcoin and hundreds of altcoins would create new cryptocurrency indices from S&P Dow Jones Indices from January 2021.