Retail Investors Boost Bitcoin Accumulation By 72% Amid Intense Whale Selling – Details
February 08 2025 - 11:00AM
NEWSBTC
This trading week proved rather turbulent for Bitcoin as the
premier cryptocurrency fell to as low as $91,000 on Monday amid
concerns of a potential trade war between the US and Canada,
Mexico, and China. Though Bitcoin soon made a sharp recovery rising
briefly above $102,000, the flagship cryptocurrency currently
trades above $96,000 in what appears to be a range-bound market.
Meanwhile, blockchain analytics firm Glassnode has provided
valuable insights on Bitcoin investor behavior in the last few
months. Related Reading: Bitcoin’s Exchange Reserves Plunge—Are We
On The Brink Of A Rebound? Bitcoin Retail Investors Stacking 10,627
BTC Daily In a new X post, Glassnode dived into the recent
activity of Bitcoin holders stating that retail investors i.e.
address holding ≤1 BTC, are presently on an accumulation spree
stretching to mid-December. Notably, these small investors are
purchasing Bitcoin at an accelerated average rate of 10,627 BTC per
day, which represents a 72% surge compared to last year’s daily
average of 6,177 BTC. This aggressive buying by retail investors
marks a stark contrast to their behavior in November where they
opted to take profits as Bitcoin soared past $100,000.
However, their renewed accumulation despite Bitcoin’s woes since
December suggests a strong confidence in the asset’s long-term
profitability. On the other end, Bitcoin whales i.e.
investors holding over 1000 BTC, are offloading their assets at a
rather unprecedented rate. Since November 24, these large
investors have been moving Bitcoin to exchanges at an alarming
average rate of 32,509 per day, suggesting a potential 9x increase
in selling pressure compared to BTC’s yearly average. Generally, a
large sell-off by market whales is a bearish signal indicating
uncertainty about an asset’s future price. However, the
Bitcoin community remains bullish as a significant portion of the
offload by the market whales can be attributed to profit-taking
rather than loss of confidence. Furthermore, the recent
accumulation surge by retail investors has served as a key absorber
of supply, mitigating potential drastic price declines. Albeit, as
Bitcoin struggles to find some stability, retail investors must
maintain their current demand level which is crucial in sustaining
the asset’s bullish structure. Related Reading: BNB Price Poised to
Rally—If It Can Overcome This Hurdle BTC Price Overview At
press time, Bitcoin trades at $96,679 after a 0.84% decline in the
past day. This negative performance underlines the asset’s form in
the past week in which prices dipped by a cumulative 5.71%. Despite
the price decline, trading volume has surged by 17.22%, signaling
increased market activity and interest. Bitcoin’s price action
indicates consolidation within the $95,000–$100,000 range, setting
the stage for a potential breakout. To confirm an uptrend, market
bulls must drive a rally beyond the critical $105,000 resistance
level. Featured image from blockgeni, chart from Tradingview
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