Bitcoin supply held by “whales” hits a two-month high with bullish signs

Blockchain data shows wealthy investors are trying to re-enter the Bitcoin market.

The amount of Bitcoin held by whale entities – clusters of addresses controlled by a single network subscriber at 1,000-10,000 BTC – rose more than 80,000 to 4.216 million BTC on Friday (June 2), hitting the highest Status since May.

According to Glassnode, the number of whale addresses remained largely unchanged on Saturday as the number of whale entities rose to a three-week high of 1,922.

The new clustering of whale entities is good news for the market as these wealthy investors played a key role in boosting Bitcoin, helping it jump from $ 10,000 to nearly $ 10,000, $ 60,000 for 5 months through February 2021.

Balances held by whale companies rose in line with prices during the bull run, hitting a record high of 4.542 million on Feb.2.

The yellow line represents the supply of whale entities, the black line represents the Bitcoin price | Source: Glassnode

Whales became sellers in the months that followed, reversing the upward trend, and in early May their bitcoin reserves dropped 8% to 4.17 million BTC.

Bitcoin mostly stayed between $ 50,000 and $ 60,000 during this period, with a brief surge to ATH $ 64,801 in mid-April.

The price action shows the inability of retail investors to drive prices higher and signals the possibility of a notable price correction. Bitcoin fell 35% in May, hit a low of nearly $ 30,000, and continued to drop to $ 29,031 in June.

The recent surge in whale populations suggests that it may have bottomed out. Bitcoin is trading sideways at $ 34,515 at press time.

Source: TradingView

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