Increased accumulation of Bitcoin by whales suggests a strong hold as the cryptocurrency’s price continues to rise above $68,000.
Whale Outflows Decline as Bitcoin Surges
Recent data highlights the significant decrease in whale outflows, signaling a shift towards more accumulation. Large BTC holders, also known as “whales,” have reduced their selloffs significantly. On-chain data provided by IntoTheBlock shows a shift in Bitcoin whale net flows. The outflow of 1,650 BTC on October 17 reversed to a net inflow of 211 BTC on October 19, indicating renewed confidence in the market.
New Whale Addresses Show Growth
Large BTC holders continue to increase, reflecting bullish market sentiment. CryptoQuant CEO Ki Young Ju verified the recent growth in whale activity. According to a report, new whale addresses holding at least 1,000 BTC have soared to over 1.97 million coins. This represents an 813% increase since the beginning of the year, a clear sign of increased confidence among big investors.
Bitcoin ETFs Drive Bullish Momentum
Increased investor interest in spot BTC ETFs in the U.S. is driving Bitcoin’s upward trend. One key factor behind the bullish momentum is the growing demand for U.S.-based spot Bitcoin exchange-traded funds (ETFs). According to reports, these financial products attracted $2.1 billion in inflows last week, with net inflows surpassing $21 billion. This growing interest in regulated BTC investment vehicles is further stabilizing the market.
Exchange Net Flows Show Declining Selling Pressure
Bitcoin exchange outflows point to lower market selling pressure. Data from IntoTheBlock reveals that Bitcoin exchange net flows stayed negative for three straight days, with a net outflow of 2,300 BTC worth $157 million on October 19. A continuous decline in exchange outflows often hints at lower selling pressure, though short-term profit-taking remains possible as Bitcoin nears its previous all-time high of $73,750.
Bitcoin Consolidates Around $68,000
The flagship cryptocurrency stabilizes while trading volume falls. Bitcoin has traded within the range of $68,000 to $68,600 over the past 24 hours. Despite its price holding steady, the daily trading volume has dropped to $13.8 billion, a 55% decrease. The declining trading volume could suggest lower price volatility for Bitcoin in the near term. However, its market cap remains strong at $1.35 trillion, underscoring its dominance in the crypto market.
A Strong Market Despite Volatility Risks
While Bitcoin faces profit-taking pressure, long-term indicators remain bullish. Bitcoin’s rise above $68,000 has captured the attention of both institutional and retail investors. While short-term fluctuations are expected, particularly with the approach of its all-time high, whale accumulation and ETF inflows hint at a resilient market. The cryptocurrency’s ability to stabilize in a lower-volume environment could signal future growth.
Disclaimer:
The information provided on 13Desk is for informational purposes only and should not be considered financial advice. We strongly recommend conducting your own research and consulting with a qualified financial advisor before making any investment decisions. Investing in cryptocurrencies carries risks, and you should only invest what you can afford to lose. 13Desk is not responsible for any financial losses incurred from your investment activities.
