The Bitcoin blockchain recently recorded a notable increase in transactions, surpassing the $100,000 threshold, marking a new high for the year. This surge indicates significant activity among Whales & larger investors in the cryptocurrency space.
Whales & Big Investors Pouring Money into Bitcoin
Bitcoin’s on-chain activities signal the active participation of whales and influential investors as the cryptocurrency price surged beyond $35,000.
Recent data from the blockchain analytics firm IntoTheBlock reveals that the number of transactions involving movements of at least $100,000 worth of BTC reached a year-to-date peak at 23,400 last week.
Since last week, Bitcoin’s price reached $35,000, marking its highest level since early May 2022. Although the cryptocurrency has been trading sideways, hovering around $34,000, it boasts a 107% year-to-date gain, with a 27% surge this month.
What’s Attracting Whales
IntoTheBlock noted in a recent newsletter that the rise of Bitcoin spot ETF applications has heightened the interest of whales and institutional investors in Bitcoin.
This is because transactions of over $100,000 had gone up a lot in late June when Blackrock’s ETF started, and now it’s even higher as Bitcoin is reaching new prices that it hasn’t reached for a year. Meanwhile, this recent uptick in Whale activity could be a sign of what’s to come in 2024.
Further, the U.S. Securities and Exchange Commission (SEC) is widely anticipated to approve several spot-based exchange-traded funds (ETFs) early next year. Analysts believe that the introduction of BTC ETFs will drive Bitcoin’s market value to $42,000 and beyond.
Blockchain data also indicate increased involvement from retail investors in recent weeks. According to data from Deutsche Digital Assets, the on-chain activity index for small entities reached a new high for the year at 1.5 last week.
Small investor participation is considered a vital factor for a sustainable bull market in cryptocurrency assets.
Whales Impacting Memecoins Too
In a previous Coinpedia report, it was highlighted that Pepe coin and Floki Inu broke through their monthly resistance levels, propelled by the support of whales and increasing profitability. This happened because the price of Bitcoin had reached $35,000.
On-chain data shows a significant surge in whale investor activity surrounding Floki Inu and Pepe coin. Both experienced increased price volatility after surpassing critical monthly resistance levels.
However, some people are worried that these investors might sell all their Pepe coins and Floki Inu if the price stops going up.