After having touched US$28K, Bitcoin seems to try to rebound briefly. Factors that can influence the performance of cryptocurrency include Bitcoin whales. That is why monitoring the activity of Bitcoin whales becomes useful. Here we show you the details, especially the way whales have been introducing liquidity to the BTC market.
As always, we emphasize that this activity must be put into context to better investigate the status not only of whales, but of the market as a whole. Before continuing, we must clarify that all the data in this publication can be viewed on the Whale Alert page, and Twitter. This is only a micro approximation to one of the factors that can influence the performance of BTC, but it is not the only one.
Summary of the weekly activity of Bitcoin whales: they introduce BTC liquidity to the market
From May 23 to 29, Bitcoin whales have mobilized a total of 115,593 BTC through 57 operations.
Currently, we can say that the predominant trend of whales was the introduction of liquidity to the market, at least in terms of mobilized BTC. Specifically, 42,567 BTC passed from unknown wallets to exchanges (36.82% of the weekly total).
Next, the second strongest trend was the transfer between unknown wallets. Thus, we have that 34,584 BTC were mobilized in this regard in the last week. With this, it represents 29.92% of the weekly total.
In third place, we place the accumulation of BTC, with 19,658 BTC (17% of the weekly total). Finally, 18,784 BTC were mobilized between exchanges, thus representing 16.25% of the weekly total.
How has Bitcoin’s performance been?
At press time, Bitcoin has a value of approximately US$ 29,448, which represents an increase of 1.35% in the last 24 hours. In this last week of May, the cryptocurrency even broke the US $ 29K barrier momentarily, to then try to emerge gradually.
Traders are still in risk-off mode after experiencing almost nine consecutive weeks of negative returns. Although BTC is up 10% from its recent extreme low of $25,840 on May 12, the cryptocurrency is still down 40% so far this year. In the short term, however, prices could stabilize.
It should be noted that there was a 13% drop in the S& P 500 and 22% in the Nasdaq 100 in the same period. Therefore, so far, it has been a difficult year for all speculative assets.
Even so, in this context there are those who talk about decoupling. This is the time when the price of Bitcoin diverges from stocks and starts to rise when stocks go down (and vice versa). Some experts and analysts have pointed out that this could happen at some point soon. Decoupling would force traditional financiers to start thinking about Bitcoin as a risky asset. The reason is that in theory it would be “less” risky than stocks.
Relate
