Bitcoin Whales Accumulate BTC Despite Market Uncertainty

Bitcoin whales have been making significant moves in the market, accumulating large amounts of BTC despite the prevailing sentiment of fear, uncertainty, and doubt (FUD). Recent analysis by IntoTheBlock revealed a surge in net inflows to the largest wallets, with holders controlling at least 0.1% of the total Bitcoin supply increasing their holdings by 7,130 BTC in a single day, amounting to approximately $436 million. Despite the market downturn and concerns about further losses, major investors have shown confidence in Bitcoin’s price trajectory.

The data suggests that signs of local bottoms have emerged after a correction of about 15% over the past three weeks. This confidence was highlighted by a significant surge in net inflows on June 24th, as bitcoin’s price briefly dropped below $60,000, allowing large holders to add to their wallets the highest amount of BTC since late May. In the futures market, open interest decreased by around $3 billion, mainly due to long liquidations. Funding rates for perpetual contracts have also neared zero, indicating a balanced market with healthier and less overly optimistic price structures.

Short-term holders have seen bitcoin’s price dip below the realized price of $62.6k, placing them in slightly negative average profitability. However, historically, this price level has served as support during local corrections within broader uptrends.

Several factors are influencing BTC’s price action, including US macroeconomic data and uncertainties surrounding American monetary policy, which impact investors’ risk appetite. Upcoming data releases, such as GDP, initial jobless claims, and inflation data (PCE), are expected to play a crucial role in influencing market sentiment in the short-term.

The recent accumulation trend by Bitcoin whales amidst market uncertainty underscores the resilience and long-term outlook of major investors in the cryptocurrency. While short-term volatility and corrections may persist, the confidence shown by large holders and the emergence of local support levels signal a potential shift in sentiment towards a more bullish outlook for Bitcoin’s price trajectory.