Bitcoin Shark Wallets Reach All-Time Highs Driving Bullish Momentum

1 week ago 23

January 25, 2025 by Bena Ilyas

Shark wallets holding 100–1,000 BTC reached a record 15,777, showing increased confidence from mid-sized traders.
Retail investors (shrimps and crabs) added 25,600 BTC last month, absorbing nearly 1.9x the new Bitcoin supply.
This combined accumulation from both sharks and retail investors suggests the potential for a Bitcoin price rally

The Bitcoin network is abuzz with new activity, with the number of shark-sized wallets- a term for addresses holding between 100 and 1,000 BTC- reaching an all-time high. This may indicate that we may see a bullish path for Bitcoin, considering the growing interest of smaller investors like shrimps and crabs.

Recent data from analytics firm Santiment indicates an astonishing increase in Bitcoin shark wallets. These wallets, holding between 100 BTC (around $10.5 million) and 1,000 BTC (approximately $105 million), belong to large traders with significant market influence, second only to whales, which dominate the Bitcoin ecosystem.

🐳 Among Bitcoin's top leading indicators are the amount of wallets holding between 10 to 100 or 100 to 1,000 BTC. The latter group just broke an all-time high, with 15,777 such wallets. This rise in key stakeholder confidence is yet another promising sign for a bullish 2025. 🚀 pic.twitter.com/4ZPiowoSDf

— Santiment (@santimentfeed) January 23, 2025

According to the “Supply Distribution” indicator tracking wallet cohorts using BTC balance, this shark-sized range counted an unprecedented total of 15,777 addresses at an extraordinary level earlier this month. It greatly spiked upwards at the tail end of 2024 and was carried, yet much more in moderation, going into the current year.

The sustained accumulation of sharks suggests confidence among mid-sized institutional traders and high-net-worth individuals. With Bitcoin’s bull run stalled for the moment, such consistent activity among sharks would signal that such investors are preparing for possible future rallies.

In a nutshell, sharks are “buying the dip,” a behavior normally viewed as a bullish signal in crypto markets. Though their impact on BTC price action is not as great as that of whales, they remain very important because of the considerable number of their holdings and trading.

Retail Investors Driving Massive Bitcoin Accumulation

It’s not only sharks creating ripples. Glassnode, another blockchain analytics firm, has similarly reported increasing Bitcoin accumulation from retail investors, which it defines as shrimps of up to 1 BTC and crabs of 1 to 10 BTC. Over the last month, these smaller wallets have net accumulated 25,600 BTC, absorbing close to 1.9 times the Monthly Issuance of newly mined BTC.

This surge in accumulation is bringing growing retail confidence to Bitcoin despite the greater market volatility. Retail investors are buying BTC at a rate faster than what miners are producing, which underlines increased demand and shrinking supply on exchanges.

The combined activity of sharks and retail investors could lay the groundwork for a strong price rally. When influential traders like sharks increase their holdings, it often reflects optimism about Bitcoin’s long-term value. Simultaneously, retail accumulation suggests grassroots support for cryptocurrency.

The crypto market’s history shows that periods of high accumulation by both large and small investors tend to precede major bull runs. While BTC prices have recently stabilized, this on-chain data signals the potential for renewed momentum.

At the time of writing, Bitcoin price today is $ 104,317 with a 24-hour trading volume of $ 51.60B. Market capitalization stands at $ 2.07T, while market dominance is 57.19%. In the last 24 hours, the price of BTC has changed by -0.50%.