Bitcoin Whale Activity Stagnates As Large Transactions Remain At Low Levels

For a long period, Bitcoin investors have been demonstrating a waning activity. With BTC’s price facing significant downward pressure due to the heightened volatility in the broader crypto market, this negative performance may extend, creating a bearish environment for the flagship asset in the upcoming weeks or months.

Whale Transactions In Bitcoin Stay On The Sidelines

A notable negative persistent action has been spotted among large Bitcoin investors or whales. Advanced on-chain data and investment platform Alphractal revealed the trend in whale activity in a recent post on the X (formerly Twitter) platform.

Alphractal reported that Bicoin’s whale activity has seen a noticeable slowdown. After examining the BTC Whale Transactions metric, data shows that the volume of large transactions is still at low levels, suggesting a period of reduced high-stake trading activity.

The slowdown implies that large holders are becoming more cautious in light of the market’s current state, which is resulting in less liquidity. While the ongoing inactivity suggests high uncertainty, it also indicates strategic accumulation by big investors.

It is worth noting that transfers valued at more than $100,000 are usually considered whale transactions. Whales’ overall transactions on the blockchain have been low and steady for the past 2 years, particularly since November 2022. However, the stagnation is far from what was seen from the end of 2020 to the end of 2022.

Considering the development, it appears that Bitcoin‘s current cycle has not yet reached the true euphoria that the asset witnessed in the past. In the meantime, examining the behavior of the large transactions is crucial to determine whether there is substantial demand for BTC.

Lately, demand for BTC among large investors has been gradually picking up pace in the last few weeks. Data shows a sustained bullish sentiment as whales have accumulated BTC for over a month, reflecting renewed confidence in the asset’s long-term potential.

Within a month, these investors purchased about 65,000 BTC in spite of the recent heightened volatility in the market. During significant waning market conditions, persistent accumulations by whales mean that investors are capitalizing on the ongoing drop in BTC’s price.

Such development is significant for Bitcoin’s market dynamics since whale accumulation has preceded upside price movements. Should the trend continue, it could lead to robust buying pressure that would lay the groundwork for BTC’s next price move.

BTC Holders Approaches Its All-time High

Another positive development during this volatile period is the rise in BTC’s overall holders. Santiment highlighted that Bitcoin’s total number of holders surpassed 54.71 million, which is within 0.018% of the all-time high of 54.72 million achieved on January 19, 2025.

BTC’s network expansion and the division of larger wallets into smaller ones are considered to be partly responsible for this. However, this does show that the network is still growing, even after over 8 weeks of intense price fluctuation following the all-time high of $109,000.