65,000 Bitcoin in one week: BTC sharks are getting greedy
- According to a recent data analysis by the analysis platform CryptoQuant, so-called “Bitcoin sharks” have bought around 65,000 Bitcoin within seven days – the largest weekly net increase for this wallet class in months.
- CryptoQuant defines investors with assets of 100 to 1,000 Bitcoin as “sharks.” Those with assets above that are traditionally referred to as “whales.”
- Data shows that demand in this segment has recently increased significantly. In total, the group of sharks now holds more than 3.5 million Bitcoin, which represents a significant portion of the available supply.
- CryptoQuant points out that the purchases are taking place during a market phase in which supply on exchanges continues to decline. This suggests that fewer Bitcoins are available for trading, while at the same time, certain wallet groups are increasing their holdings.
- “The combination of accumulation by sharks, buying by long-term investors, and outflows from exchanges is creating the conditions for a supply squeeze,” according to CryptoQuant. “Beneath the surface volatility, the foundation for Bitcoin's next strong upside appears to be forming.”
- A similar pattern has been observed in previous cycles, where larger wallets increased their holdings during periods of declining exchange reserves.
- Meanwhile, Bitcoin continues to consolidate around the $115,000 mark. Compared to the previous week, the leading cryptocurrency is up about two percent. However, higher volatility is expected next week, when many market observers predict the U.S. Federal Reserve (Fed) will cut its key interest rate. Read more here: How the Fed's interest rate hike is affecting the crypto market
Recommended Video: Crypto Comeback? Bitcoin & Co. Depend on the US Federal Reserve!
Sources
Wallet behavior analysis | CryptoQuant
