As bearish pressure looms over the crypto market, Bitcoin has entered a phase of consolidation after enjoying a strong rally in recent weeks. Currently, Bitcoin’s price is oscillating between the $103,000 and $107,000 range. Despite the fluctuations, key market players continue to display a bullish sentiment towards BTC.
Despite the overarching bearish sentiment, Bitcoin has not entirely lost its upward momentum, hovering firmly above the $100,000 mark. On-chain data indicates a significant rise in the holdings of large investors, commonly referred to as whales.
Recent reports show that these influential investors are quietly increasing their stakes in Bitcoin, following the bullish movements that have driven the asset to a new all-time high. Darkfost, a well-known market expert, highlights that the supply held by large Bitcoin investors, especially those owning between 1,000 and 10,000 BTC, has been on a steady rise since March 11. Notably, BTC’s price dipped below $78,000 on that day, which marked the beginning of an accumulation-driven rally.
As of Monday morning, the supply owned by these large wallet addresses rose from 3.3 million BTC to 3.5 million BTC, representing a notable increase of over 5%. This significant growth suggests that the accumulation trend may bolster Bitcoin’s uptrend and potentially set the stage for new price surges in the future.
According to recent analytics, whales have collectively added over 78,000 BTC to their holdings over the past month. Furthermore, approximately 6,000 BTC were added in just the last week, indicating robust confidence in this digital asset often referred to as digital gold. Although there seems to be a slowing accumulation in the very short term, Darkfost assures that the confidence remains relatively strong despite the new all-time high established on May 23. He remarked, “For now, confidence still reigns among the whales.”
In another positive development for the market, large Bitcoin holders have shown a marked decrease in their interest in short positions as BTC’s prices stabilize near major resistance levels. Joao Wedson, an on-chain expert and founder of Alphractal, noted that the whales have curtailed their shorting of BTC after analyzing the Bitcoin Whale Position Sentiment metric.
With this newfound conviction among whales, Wedson is optimistic that BTC will experience a respite and possibly a favorable week ahead in terms of price movements. As Bitcoin traded at around $106,000 earlier today, it is essential for investors to monitor ongoing trends to stay ahead of market shifts and ensure informed trading decisions.
