Bitcoin (BTC) whales are back in the game as the queen cryptocurrency drops to nearly $ 60,000, with data showing classic bull market behavior.
According to blockchain data on November 16, the third largest Bitcoin whale address increased its holdings by 207 BTC.
Whales take advantage of the falling wave
Despite falling 8% in the past 24 hours, bitcoin remains a solid buy for its biggest investors.
For the address, which is now the third largest with a balance of 193,433 BTC, despite the drop, has just added the equivalent of $ 12.84 million to its balance at a price of $ 62,053 per bitcoin.
“At present, this address has increased its holdings by 635 BTC in November,” reporter Colin Wu noted in comments on the event.
The current balance of this address is 108,528.56 BTC, so today it is worth almost $ 4,632,109,617.37!
This whale behavior is actually common during bullish phases, as evidenced by blockchain data covering the highs of previous cycles.
“In my opinion, whales and big investors usually buy bitcoin when the price collapses in order to continue accumulating cheaply,” a contributor from on-chain analysis firm CryptoQuant explained on Tuesday.
This type of purchase had already been identified during the previous bullrun (2017), the price has increased each time this type of scenario has occurred. Currently, during the Bullrun, the metric has reached four highs, indicating that the whales are buying and consolidating their positions.
This, sums up the post, may be a “long-term bullish sign” for the price of bitcoin.
Bitcoin price action remains conservative
As we have already observed, long-term holders have started to significantly reduce their holdings of BTC since this month.
In what is called “distribution”, the phenomenon has historically been accompanied by the most important phase of price increases, as we could already observe in November last year.
The large volume of buyers at $ 62,000 was not enough to prevent the price from testing lower brackets, contrary to the expectations of Whalemap, a tool dedicated to tracking whale activity.