Bitcoin Whales Surge: Are New All-Time Highs on the Horizon?

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Recent data on the blockchain has shown a significant achievement for Bitcoin whales, specifically addresses that hold at least 1,000 BTC. Notably, the information indicates that the number of these whale addresses has reached its peak since the bull market of January 2021.

As Bitcoin continues trading near its all-time high, this new milestone for whales raises the possibility of Bitcoin surpassing its previous record and establishing a new all-time peak shortly.

Whale Activity and Holder Numbers Hit New Records

Bitcoin whales have consistently served as a vital gauge of sentiment among both traders and long-term holders. According to data by Glassnode shared by André Dragosch, director and head of research for Europe at Bitwise, the number of addresses classified as whales has been steadily increasing since January 2024, when it was just below 1,500.

The prevailing market conditions and the influx of institutional investments have facilitated this upward trend for several months, allowing it to surpass multiple thresholds. The latest figures indicate that the number of Bitcoin addresses with at least 1,000 BTC has climbed to 1,678, marking the highest level of whale activity since January 2021, at the peak of the last significant bull market.

Bitcoin

This implies that each of these addresses now contains a minimum of $67 million worth of Bitcoin, based on the current market price.

Is a New All-Time High on the Horizon?

The accumulation by whales leading up to the previous peak in January 2021 was a significant factor that sent the Bitcoin price over $69,000 in 2021.

While the Bitcoin price has since exceeded that peak to reach an all-time high of $73,737 in March 2024, the same accumulation trend appears to be re-emerging. This notable gathering of BTC by whales has acted as the necessary support against deeper price corrections following a false breakout of a descending triangle seen earlier in the week.

Despite the false breakout event, the overall sentiment surrounding Bitcoin remains positive. On-chain analytics from CryptoQuant indicates that the driving force isn’t solely whales. Retail investors have also become active participants. Recent data shows a 13% increase in retail demand within the last month, a significant rise that reflects the retail interest observed in March 2024, just prior to Bitcoin achieving its most recent all-time high.

Retail on-chain activity returns after 4 months

“In the last 30 days, retail demand grew by about 13%, highlighting a scenario that was only seen in March, when we were close to the last historical high.” – By @caueconomy

Full post https://t.co/VORO90JhVg pic.twitter.com/jHGzjUBgII

— CryptoQuant.com (@cryptoquant_com) October 22, 2024

As of the time of writing, Bitcoin is priced at $67,000, having fluctuated between $65,161 to $67,538 in the past 24 hours and $65,441 to $69,227 over the last week.

Interestingly, Bitcoin is now just 10% short of breaking its all-time high once more. With this surge in buying interest and whale accumulation, Bitcoin appears poised for another breakout to establish a new price record before the end of 2024.