Bitcoin whale accumulation mirrors 2020 trend where BTC rallied 550%

As a seasoned crypto investor with a decade of experience under my belt, I can’t help but feel a sense of déjà vu when observing the current Bitcoin (BTC) market trends. The whale accumulation pattern we’re witnessing now is strikingly reminiscent of the historic rally from July 2020 to January 2021, which saw BTC surge by an astonishing 550%. With such a strong precedent, it’s hard not to get excited about the potential for another breakout.


As the value of Bitcoin (BTC) approaches the $70,000 mark, large crypto holders (whales) are amassing BTC at a rate similar to the period between July 2020 and January 2021, during which Bitcoin experienced an impressive surge of approximately 550%.

Based on Woominkyu’s analysis as a trusted writer on CryptoQuant, this historical pattern has investors buzzing with anticipation for a potential Bitcoin surge. As shown in the accompanying graph, the proportion of Bitcoin held by large investors (whales) on trading platforms now mirrors the ratio seen around July 2020 following the COVID-19 market downturn in March.

Bitcoin whale accumulation mirrors 2020 trend where BTC rallied 550%

According to the author’s statement, whales are buying Bitcoin (BTC) even with the temporary fluctuations in its market value because they believe that its long-term price will rise. In a recent post on platform X, Woonminkyu mentioned this same idea.

“Whales are ready to welcome “FOMO” by dumb money.”

In the last six months, as per CryptoMoon’s report, whale wallets have amassed approximately 1.5 million Bitcoins, with each wallet holding over 1,000 Bitcoins, which translates to around $68 million in today’s value.

New whale wallets represent 9.3% of the total supply

According to the CEO of CryptoQuant, a significant number of new Bitcoin wallets holding coins less than 155 days old has just hit a record high of 1.97 million Bitcoins.

Bitcoin whale accumulation mirrors 2020 trend where BTC rallied 550%

One significant distinction between these whale wallets and those found on spot exchanges lies in their nature: These are not miner wallets and could be considered custodial. Regarding the return on investment for these wallets, Young-Ju pointed out…

“Their BTC balance surged 813% YTD, taking up 9.3% of the total supply, valued at $132B today.”

Bitcoin long-term holders may be ‘stabilizing’

Despite whale wallets suggesting optimism for Bitcoin’s future, it’s possible that long-term investors and miners could present some obstacles in terms of price increase. IT Tech, an analyst on CryptoQuant, suggested that these long-term holders might be holding steady or even cashing out their investments.

Bitcoin whale accumulation mirrors 2020 trend where BTC rallied 550%

Lately, the durability of miners’ profits has grown, leading them to incorporate longer payment intervals that tend to coincide with peak Bitcoin prices.

Meanwhile, the analyst mentioned that short-term investors are starting to buy more, suggesting they’re moving towards accumulation. This could mean the market has the capacity to handle any increased selling activity.

“Monitoring STH, LTH, and miners is crucial. Shifts here can impact BTC’s next move as the market watches for renewed accumulation or profit-taking.”

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2024-10-18 19:35