As an experienced financial analyst, I’ve closely observed the cryptocurrency market for several years. The latest developments in Bitcoin’s price action and whale wallet holdings have piqued my interest.
Over the last few days, Bitcoin experienced a downturn with bears keeping a close eye on its price around $70,000. Consequently, Bitcoin lost over 4% of its value in the past week and was hovering around $66,000 during my latest update.
It’s intriguing to note that the aggregate amount of Bitcoin (BTC) held in wallets containing 10 or more coins has recently reached its peak level in the past two years. The data implies that FTX’s absence could be a contributing factor, enabling the market to better reflect genuine demand.
Whale Wallets Mirror Pre-FTX Collapse Levels
Based on recent data from Santiment, Bitcoin’s price has experienced a significant increase of around 226%. To help visualize this growth, it is noteworthy that these wallets collectively possessed approximately 16.16 million Bitcoins as of June 16, 2022, representing about 84.8% of the existing Bitcoin supply at that time.
On June 16, 2024, wallets containing more than 10 Bitcoins collectively hold approximately 16.16 million Bitcoins. This amount equates to over 82% of the entire Bitcoin supply.
As a crypto investor keeping a close eye on market trends, I’ve noticed Santiment bringing up an intriguing theory. They suggest that Sam Bankman-Fried, the ex-FTX chief and infamous convicted crypto figure, might have been manipulating prices in the second half of 2022. Following Bitcoin’s dramatic collapse in November 2022, it has become increasingly apparent that there is a strong link between this specific wallet group’s growing holdings and the total market value of BTC.
Since the cryptocurrency exchange’s failure in November 2022, it has become apparent that there is a strong connection between the number of 10 or more Bitcoin wallets and the total value of the coin in the market.
During FTX’s operational period, it’s possible that unusual forces were at play, causing a disconnect or distortion between large-holder buying/selling activities and market price trends. However, since FTX’s exit, the relationship between major Bitcoin whales’ holdings and the broader market valuation seems to have resumed its usual role.
Based on my analysis as a crypto investor, Santiment’s data indicates that FTX’s unusual market activities might have significantly impacted cryptocurrency prices prior to its collapse. However, following the failure of FTX, the holdings of large whale wallets have emerged once again as a more reliable indicator for predicting the direction of the crypto market.
Rigged
Last year during the sensational FTX trial, Caroline Ellison, a previous CEO of FTX’s affiliated hedge fund, disclosed that the disgraced FTX founder had colluded with her to manipulate and suppress the bitcoin price below $20,000 by selling massive amounts using customer resources.
Ellison presented a document as proof, which stated, “Continue trading Bitcoin if its price exceeds $20,000.”
Based on the testimony I analyzed, it seemed that the absence of Bitcoin reaching $100,000 during the 2021 bull market could be attributed to the deliberate selling pressure exerted by executives at FTX.
Read More
- W PREDICTION. W cryptocurrency
- PENDLE PREDICTION. PENDLE cryptocurrency
- AAVE PREDICTION. AAVE cryptocurrency
- AEVO PREDICTION. AEVO cryptocurrency
- ZETA PREDICTION. ZETA cryptocurrency
- REF PREDICTION. REF cryptocurrency
- FutureNet Co-Founder Roman Ziemian Arrested in Montenegro Over $21M Theft
- EOS PREDICTION. EOS cryptocurrency
- QNT PREDICTION. QNT cryptocurrency
- ISP PREDICTION. ISP cryptocurrency
2024-06-17 15:34