Key Points
- Bitcoin whales holding between 100 and 100,000 BTCs have significantly accumulated over the past three months.
- Despite recent price struggles, bullish sentiment continues to grow among these key stakeholders.
According to data from Santiment, Bitcoin whale addresses, those holding between 100 and 100,000 BTCs, have acquired a total of 319,310 BTCs in the past three months. This is equivalent to around $22 billion at current market prices.
Most of these coins have originated from wallets holding between zero and 100 BTCs. These smaller investors distributed around 105,260 BTCs from their holdings over the same 90-day period.
Market Confidence Despite Price Troubles
At the time of reporting, 16,000 addresses held between 100 and 100,000 BTCs, controlling 57% of Bitcoin’s circulating supply. In contrast, 52 million addresses held between zero and 100 coins, representing 40% of BTC’s circulating supply.
Santiment suggests that this coin accumulation by key holders over the past three months is a bullish sign for Bitcoin and the entire crypto market. This is because the wallets with the most influence to move markets appear confident in Bitcoin’s future value.
This coin accumulation has occurred despite Bitcoin facing significant resistance at the $70,000-price level and a 3% price decline over the last seven days.
Funding Rates Indicate Market Confidence
Funding rates, a mechanism used in perpetual futures contracts to ensure contract price stays close to the spot price, also indicate market confidence. Positive funding rates suggest more traders are expecting the asset’s price to rise than there are traders anticipating a decline.
At the time of reporting, BTC’s funding rate was 0.0084% according to Coinglass data, indicating a bullish sentiment.
Despite significant profit-taking activity when Bitcoin rallied to a new all-time high in March, the year has seen a steady decline in the cryptocurrency’s exchange reserve. The total number of BTC held across exchanges has fallen to its lowest since 2018, with a reserve of 2 million coins.
This decline in exchange reserves indicates a decrease in selling pressure. Despite Bitcoin facing significant resistance at $70,000, many holders remain confident that it will reclaim its all-time high.
