Crypto whales seen accumulating assets as prices rise
Major crypto investors appear convinced prices will continue to rise and are accumulating Bitcoin and Ethereum by pulling billions of dollars worth off centralised exchanges.
Whales accumulating Bitcoin in Binance
Investors are obviously, convinced the price will continue to grow, at least according to the CEO of the crypto analytics company CryptoQuant, Ki Young Ju.
According to the metric, Binance had the highest volume of BTC spot trading:
Whales are accumulating $BTC in #Binance.
Since #Bitcoin price hit the $20k level, @Binance spot trading volume dominance skyrocketed, and it’s now 84%. The second biggest is Coinbase, 9%.
Not sure whether these whales are institutions using prime brokers or crypto OGs for now. pic.twitter.com/544NJo9T1z
— Ki Young Ju (@ki_young_ju) October 19, 2022
On the other hand, U.S. crypto exchange behemoth Coinbase only had 9 percent of the volume dominance. Still, the main reason may lie in the fact that
Binance does offer zero-fee trading, taking just the spread on the transactions, whereas Coinbase has some of the highest fees in the industry.
Bitcoin to hit ‘unstoppable maturation’ stage
Another report came from crypto data provider Glassnode, which showed that the net flows for Bitcoin peaked at $158.5 million for the last day. The number of Bitcoin addresses sending the asset to exchanges reached a two-year low of 4,323, indicating that an accumulation phase has already started.
Mike McGlone, the Senior Commodity Strategist for Bloomberg Intelligence, recently commented that Bitcoin is a promising technology that might be hitting its “unstoppable maturation” stage.
One post by CryptoQuant also showed a movement of 500 BTC following the 5k BTC shift in more than seven years old coins a time back.
The fact that crypto whales have been actively moving funds away from centralised exchanges after active accumulation shows their belief that Bitcoin could be coming to its very bottom.
Ethereum whales adding millions of ETH to their bags
As for Ethereum, data from Santiment showed that since September 11, Ethereum whales, who have one million or more ETH, have added over 3.5 million more coins.
This kind of thing usually happens when investors intend to hold their assets for some longer term. Also, this might be a good way to stop possible thefts, as exchange wallets have been the most populator targets for crypto hackers.
Also, the ETH discharge from centralised exchanges can cut down possible sell-side pressure, allowing the price of Ether to increase more quickly.
Prices of both cryptocurrencies stood almost unchanged at 10:27 CET. Bitcoin stood at $19,143.49 while the price of Ethereum on Coinmarketcap was down slightly, off 0.07% to $1,291.55
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