Bitcoin Whales Gain Ground as $100K Transactions Sets

Bitcoin Whales Gain Ground as $100K Transactions Soar. Last week saw a record-breaking week for the quantity of transactions on the Bitcoin network involving more than $100,000.

Whales, or investors with a large amount of wealth and the power to shape market trends, appear to have been involved in Bitcoin's (BTC) onchain activities during the cryptocurrency's recent rise beyond $35,000.

According to data recorded by blockchain analytics company Into The Block, the number of transactions processed on the Bitcoin blockchain involving a movement of at least $100,000 worth of BTC reached a year-to-date high of 23,400 last week.

According to CoinDesk data, the price of the cryptocurrency crossed the $35,000 threshold last week, hitting its highest level since early May 2022. Since then, the cryptocurrency has fluctuated between $34,000 and $37,000, showing a 107% gain year to date. This month, prices have reportedly jumped by 27% due to increasing demand for haven assets and optimism about spot ETFs.

"IntoTheBlock stated in a newsletter on Friday that the bitcoin spot ETF applications seem to have increased whales' and institutions' appetite for bitcoin."

"Transactions of over $100k had previously spiked in late June after Blackrock's ETF filing and have now surpassed that level as Bitcoin sets new yearly highs."

"The recent rise in institutional activity might be a harbinger for what comes in 2024," stated IntoTheBlock.

Many spot-based exchange-traded funds (ETFs) are anticipated to receive approval from the U.S. Securities and Exchange Commission (SEC) in the first part of 2019. Analysts predict that the market value of Bitcoin will rise to $42,000 or more as a result of the cryptocurrency's imminent financialization through ETFs.

Retail investors have also increased in activity in recent weeks, according to blockchain data.

Deutsche Digital Assets' data indicates that last week saw a new year-to-date high of 1.5 for small entities' onchain activity index, a measure of retail investor activity.

Head of research at Deutsche Digital Assets André Dragosch wrote in a note to customers, "We saw an increasing activity both in small and large BTC wallet entities that implies that especially smaller investors are flocking into the market." The notable rise in the median value of transfer volumes on the Bitcoin blockchain, an indicator of low investor engagement, demonstrates this.

"Note that (new) small investor participation is a necessary condition for a sustained bull market in crypto assets," Dragosch stated.

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