Whales Begin Accumulating Bitcoin Amidst Market Pressure
Despite ongoing pressure on prices and a prevailing bearish sentiment that echoes the market conditions of 2022, an interesting trend has emerged: bitcoin (BTC) whales are starting to accumulate. After a prolonged period of distribution that coincided with bitcoin’s remarkable ascent to an all-time high exceeding $109,000, these significant holders—defined as wallets containing 10,000 BTC or more—are now actively purchasing as prices hover just above $80,000, according to data from Glassnode.
The last notable instance of such aggressive buying by whales occurred in August 2024, when bitcoin was trading in the $50,000 to $60,000 range, driven by the unwinding of the yen carry trade. Whales are often referred to as the “smart money” in the cryptocurrency ecosystem, as they typically buy during substantial corrections and sell during bullish phases—a pattern that has been consistently observed over the last eight months.
However, despite this renewed activity among whales, the broader market sentiment remains decidedly bearish. Currently, bitcoin is down approximately 25% from its peak, indicating a significant downturn. Glassnode’s Accumulation Trend Score—an important metric that assesses the behavior of various wallet cohorts over a 15-day period—reveals that most other investor groups continue to engage in distribution rather than accumulation.
This score, which approaches 1 to signify accumulation and nears 0 to indicate distribution, currently stands at a mere 0.15 for the overall market. Such a low score suggests that while whales are beginning to seize the opportunity to buy the dip, the prevailing sentiment across the broader market still leans heavily toward bearishness. This could potentially exert additional downward pressure on prices, at least in the near term.
BTC: Accumulation Trend Score (Glassnode)
