Transactions Drop Significantly
Market intelligence platform Santiment has reported a significant decline in whale activity across major cryptocurrencies like Bitcoin and Ethereum. This decline is particularly noticeable when comparing the number of large transactions (over $100,000) from earlier in the year to recent months. For instance, Bitcoin saw 115.1K transactions in mid-March, dropping to 60.2K by late August. Similarly, Ethereum's transactions plummeted from 115.1K to 31.8K over the same period.
Interestingly, Santiment suggests that this trend does not necessarily indicate a bearish market sentiment. Instead, whale transactions often spike during times of market volatility. Despite the reduced transaction numbers, data reveals that whales continue to accumulate assets, albeit at a slower rate.
XRP, Toncoin, and Cardano
Beyond Bitcoin and Ethereum, other cryptocurrencies such as XRP, Toncoin, and Cardano have also experienced a decline in whale activity. XRP's transactions stabilized above 1,000 by September, while Toncoin maintained a consistent low level of activity. Cardano saw a decrease, settling at 1,867 transactions by early September. This pattern reflects a broader trend affecting various digital assets in the market.
Notable Whale Behavior
Despite the overall decline in activity, specific whale behaviors have caught the attention of market analysts. Ali Martinez, a well-known crypto analyst, noted an increase in the Taker Buy/Sell Ratio for Bitcoin on HTX, suggesting that whales are engaging in aggressive buying. Additionally, there have been reports of significant Bitcoin acquisitions by prominent whales.
For example, a notable whale recently increased their holdings to 8,559 BTC, valued at approximately $493.18 million. This occurred after a series of purchases from a Binance hot wallet. In another instance, Ethereum whales made strategic moves by withdrawing stablecoins from Aave and purchasing 7,767 ETH, valued at $19.22 million, in a single day.
Furthermore, Martinez highlighted a rapid 40,000 decrease in Bitcoin supply on exchanges within 48 hours, indicating that major investors swiftly entered the market, seizing the opportunity during a market dip. This behavior underscores the fact that despite the lower overall transaction count, whales remain active and continue to have a substantial impact on the cryptocurrency markets.
