The Bitcoin (BTC), whales are back and they’re close to $60,000, as data shows that bull market behavior is still prevalent.
On-chain monitoring resources showed that the third largest Bitcoin whale address had increased its holdings by 207 BTC as of Nov. 16.
The dip is bought by whales
Bitcoin is still a solid investment for the largest investors, despite falling by 8% in the last 24 hours.
One address is now the third largest with a balance balance of 193,433.46915660 BTC. It added $12.84 million at $62,053 per Bitcoin to its balance.
Colin Wu, journalist at the event, noted that “as of now this address has increased their holdings by 635 BTC” in his comments.
“The current balance at this address is 108.528.56 BTC and the unrealized income, 4,632,109.617.37 USD.
This behavior is common in bull runs as shown by blockchain data from previous cycles.
One contributor from CryptoQuant, a fellow on-chain analytics firm, said Tuesday that whales and large players often hedge their Bitcoins by moving to derivatives exchanges or taking short positions when buying large amounts of BTC at price bottoms.
This pattern was evident during the bull run of 2017, when the All Exchanges To Derivative Exchanges indicator peaked several times and the price saw a rise after each peak. The Bullrun has seen the metric peak four times, indicating that whales are constantly buying and hedging coins.
The post summarised that this is a “long term bullish sign” for price movement.
Bitcoin price action remains conservative
Cointelegraph reported that long-term holders began net reduction of their BTC holdings this month.
Related: Record whale accumulation triggers latest record-breaking Bitcoin breakout
The phenomenon is also known as “distribution” and has been associated with the most aggressive phase of bullish price action since November last year.
The $62,000 buyer volume was not sufficient to stop Tuesday’s retest, contrary to Whalemap’s expectations. Whalemap is a dedicated tool to monitor whale activity.
Since then, $BTC 62800 has been a success. It’s a great deal. pic.twitter.com/VS1plF3ytv
— Whalemap (@whale_map November 15, 2021