Bitcoin News

Bitcoin Whales Gain Impetus in the Ongoing Year After a Brief Stance

Bitcoin whales are those addresses that certainly hold at least 1000 BTC, and these whale addresses trend is seen spiking since the onset of the ongoing year.

The question that lies is: Where have these whales come from which has now led the total to be above 1800? The number of BTC whales was seen diminishing over the past five years, and the data per Glassnode Insights states that it dipped over 22% from around 6.7m and 5.2m BTC. As the number of whales addresses rise, does that mean investors are now adding more and more Bitcoins to their investment portfolios and hoarding for a significant spike in price to sell?

However, Bitcoin whales were seen to be at the utter height in 2016 and since then were seen declining until it again got enough impetus this year. The level of BTC whales that are seen increasing now is yet to match the level of 2016 high, which was fair beyond 6 million BTC.

Irrespective of what effect does this has on the price of Bitcoin, an increase in the number of whales has led to an important point to ponder upon is: Are these addresses buying and hoarding after having projected price rally in the near-term?

Additionally, just when we see that the number of whales is spiking in the ongoing year, simultaneously, the number of addresses holding 0.1+ BTC has just recorded an ATH of 3,086,904.

This has led to a simple conclusion about the investing nature of Bitcoiners, which says that HODLing is the key when the price fundamentals are not as strong as they should be. Bitcoiners or Bitcoin loyalists and lovers have always believed Bitcoin to be an ultimate power and a point of transition in the traditional financial system. This is confirmed by Tesla’s massive investor who is lured by Bitcoin this year after taking note of the price rise in Bitcoin even after the Coronavirus outbreak.

Ark—a bullish Tesla investor who has fixed a price target of $7000 on Tesla stock, claimed that he projects Bitcoin to cover 10% safe-haven Gold’s market capitalization in as few as five years from now. Important to note that it is just 1% of this 10/5 at present.

Bitcoin holds all the characteristics of an ultimate that can drive the financial system with a limited supply, which is just opposite to Fiat that is being printed limitless.

Paul Jolin

Paul Jolin is an economist having experience in financial research. He joined CoinNewsSpan in 2017 and since then has been working with the team to offer best price analysis and review stories on the crypto space. He is optimistic about blockchain technology's use cases in terms of financial freedom. He also has experience as an independent trader.

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