Bitcoin (BTC) whales are back in the game near the $ 60,000 mark as the data shows classic bull market behavior.
According to on-chain monitoring resources as of Nov. 16, the third largest Bitcoin whale address increased its holdings by 207 BTC.
Whales buy the dip
Although Bitcoin is down 8% in the past 24 hours, Bitcoin remains a solid buy for its biggest investors.
For an address that is now the third largest with a balance of 193,433,46915660 BTC, it added the equivalent of $ 12.84 million to its balance at a price of $ 62,053 per bitcoin.
“So far, this address has increased its holdings by 635 BTC in November,” noted journalist Colin Wu in comments on the event.
“The current balance of this address is 108,528.56 BTC and the unrealized income is $ 4,632,109,617.37.”
Such whale behavior is actually common on bull runs, as shown by blockchain data covering previous cycle peaks.
“In my opinion, whales and big players usually hedge their bitcoins by switching to derivatives exchanges and taking short positions when they buy a large amount of BTC at price lows,” said an employee of the other on-chain analysis company CryptoQuant on Tuesday.
“This pattern is evident during the last Bull Run (2017) when the All Exchanges To Derivative Exchanges indicator peaked many times and the price jumped each time. Right now, during the bullrun, the metric has peaked four times, suggesting that whales are continuously buying and hedging their coins. “
This, as the article summarizes, is a “long-term bullish sign” for price actions.
Bitcoin price action remains conservative
As Cointelegraph reported, long-term owners have started reducing their BTC stocks on a net basis starting this month.
Related: Record whale accumulation sparked recent bitcoin outbreak at all-time highs
In the so-called “distribution”, the phenomenon has in the past accompanied the most insatiable phase of bullish price movements, as was observed at the beginning of November last year.
Meanwhile, the high volume of buyers of $ 62,000 was insufficient to prevent a retest of lower levels on Tuesday, contrary to expectations of Whalemap, a special tool used to monitor whale activity.
$ BTC 62800 has actually been played out since then. Don’t wanna break it. pic.twitter.com/VS1plF3ytv
– Walkarte (@whale_map) November 15, 2021