On Wednesday, December 14, the broader cryptocurrency market came under selling pressure as the Fed raised interest rates by 50 basis points. However, these sales remain contained, as the interest rate hike was quite on the expected lines.
On-chain data shows that whales are back in action and have accumulated in stablecoins including USDT, USDC, BUSD and DAI. These addresses that collect stablecoins are usually those with $100,000 to $10,000,000.
As we can see in the image above, the lines for stablecoins holdings are all going up. This shows that major players are returning to the crypto market and purchasing power is generally increasing.
As we can see from the images above, huge jumps have been made in the $100K to $10M portfolios for USDT and BUSD. In the past three days alone, major USDT wallets have accumulated $817.5 million more in purchasing power. Similarly, key BUSD addresses have accumulated $104.9 million more in purchasing power.
On-chain data provider Santiment says these are typically good signs after the recent FTX episode. These accumulation patterns indicate that trust in the wider crypto space is still intact.
Bitcoin Whales change course
Over the past 14 months, we have seen Bitcoin whales reduce supply and the price drop followed at the same time. However, a new change in Bitcoin’s whale behavior has been observed this week. The Santiment report notes:
“We have seen 159 new addresses in the past three weeks with between 100 and 10,000 BTC. This is the fastest growth of these addresses in 10 months. An additional 40,747 Bitcoin (worth $726 million) entered these important whale wallets together in the last 9 days.
Currently, there are 15,848 such addresses holding anywhere from 100 to 10,000 BTC. This is typically a smaller number compared to the 43,460,000 total Bitcoin addresses. However, it is the whale addresses that are driving major movements in BTC price.
Bhushan is a FinTech enthusiast and has a good flair for understanding financial markets. His interest in economics and finance draws his attention to the new emerging Blockchain Technology and Cryptocurrency markets. He is constantly in a learning process and keeps himself motivated by sharing his acquired knowledge. In his spare time he reads thriller fiction novels and sometimes explores his culinary skills.
The content presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication is not responsible for your personal financial loss.
This post Bitcoin Whales address back in accumulation after 14 months
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