Crypto analytics firm Santiment is tracking Bitcoin whale behavior following the sell-off that drove the price of BTC to around $30,000 last month.
Santiment unveils that large crypto holders are buying BTC even as the digital asset fails to reclaim the $40,000 level. The firm says that Bitcoin whales recently bought tens of thousands of BTC worth nearly $2 billion.
“Bitcoin continues to range in the $37,000 to $39,000 range, but whales are accumulating behind the scenes. Addresses with 100 to 10,000 BTC have added 50,000 total BTC to their wallets or ~$1.95 billion.”
As crypto whales continue to accumulate BTC during the market downturn, Santiment says that smaller investors are selling their Bitcoin holdings.
“Bitcoin whale addresses holding 1,000+ BTC are back to holding 7.88 million tokens. This is the largest amount of BTC held by whales since March 14th. This coincides with just 2.65 million BTC held by addresses with 10 or less BTC, their SMALLEST amount in six months.”
Santiment also recently shared an overview of the Ethereum (ETH) market, spotlighting some cautiously bullish indicators. The crypto insights platform is looking at the NVT (network value-to-transaction ratio) metric, which measures the fair value of a crypto asset by dividing a coin’s market cap by its transaction volume.
“Ethereum has risen sharply as the weekend has kicked off. Our NVT token circulation model indicates that ETH tokens are still being exchanged on its network at a high level compared to its current market cap level, indicating a slight bullish divergence.”
The second-largest cryptocurrency by market cap now hovers at $2,705 after establishing a record high of over $4,300 last month, but Santiment says the negative sentiment towards the token may help drive up its prices.
“Ethereum is +20% over Bitcoin’s +6%, and the crowd’s negative perception toward ETH right now, according to our data, may just be fueling the price higher. We’re seeing commentary is more #bearish than usual, which very often pushes prices upward.”
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