Bitcoin Whale Numbers Hit 2-Year High as Investors Mirror 2016 Halving
The number of bitcoin whales hits a two-year high
Whale growth started back in February this year
Asset accumulation amid March market crash is a good signal
While the market is in a bearish trend, whales make money from volatility
Despite the local drop in the price of cryptocurrency, the number of bitcoin whales has reached a maximum in the last two years.
The number of large Bitcoin holders has reached an all-time high over the past two years, according to a report by analyst firm Glassnode..
The number of bitcoin whales (those who have at least 1,000 BTC on their balance sheet) has increased since the Bitcoin collapse by 30% last month.
Their number also grew during the March volatility and even after the price recovered to $ 7000.
“This suggests that major market players are accumulating bitcoin, which is an optimistic signal,” the report says..
In fact, the growth in the number of bitcoin whales began back in February, when we wrote that the number of wallets with a balance of more than 1000 BTC. Then the number of cryptocurrency wallets with 1000+ bitcoins on the account reached 2041 units, an increase of 31.9% against the background of last year’s values.
The industry has not seen such a number of whales since the famous cryptocurrency rally at the end of 2017.
At the same time, the cryptocurrency market recently saw a rather active surge in the withdrawal of funds from cryptocurrency exchanges to private wallets of whales.
5,000 bitcoins were withdrawn from the Bitfinex crypto exchange to an unknown external wallet, and on OKEx this amount was equal to 4,000 bitcoins.
Ripple CEO Brad Garlinghouse previously criticized Bitcoin for the ecosystem being essentially regulated by just four Chinese miners..
According to the head of Ripple, more than 60% of all total mining capacities are in the hands of only four cryptocurrency miners from China. In addition, he added that it is in the Celestial Empire that about 80% of the Bitcoin and Ether mining capacities are located..
The importance of miners in the development of the cryptocurrency ecosystem is critical, first of all, for the blockchain itself and only then for the price of the asset..
So, for example, despite the fact that many miners left the network after the Bitcoin Cash halving, the price of BCH has not changed much.
However, the cost of an hourly “51% attack” on the network has changed dramatically, which can severely damage the asset’s reputation and scare off potential investors.