When bitcoin lost more than 50% of its high-water mark value, it crashed to the core. Its current price was $33,000. The ripple effect of the market selling down in the financial sector caused the bitcoin crash. As investors tried to sell their stock, market sentiment had deteriorated.
Not everyone understood that falling prices were a sign to sell bitcoins before the market plummets further. Whales who hold a significant portion of the available supply saw this as a signal to buy, and so they have been filling up their pockets with the entire bitcoin dumpled on the market by panicking investor.
Whale Buys Bitcoin
A report by CC15Capital outlines the trading activities and transactions of a whale. The lengthy report, which was quite long, shows how the whale bought tens of thousand of bitcoin per hour and traders dumped their currencies. Asset allocator CC15Capital tracked the wallet to discover that one bitcoin wallet was purchasing bitcoin worth millions.
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In the event of the past week’s price crash, this single whale had accumulated millions in bitcoin. Every purchase cost between $2 and $18 million in bitcoin, with an average of 48,000 BTC each.
The whale seemed to be buying all the coins that were being sold on the marketplace. Over the weekend the wallet had increased its holdings to a few hundred thousand BTC. Bitcoin was bought more often as the market dropped.
Source: BTCUSD on TradingView.com| Source: BTCUSD on TradingView.com
CC15Capital demanded that bitcoin investors stop dumping their coins. These coins are often being bought by whales.
Do not panic and sell your property #BitcoinThis guy. He’s been buying $2-18 million worth every few hours. pic.twitter.com/eCE3UKXEfD
— CC15Capital (@Capital15C) January 24, 2022
BTC in Tradable Form on The Decline
CC15Capital reported that there has been a decline in the amount of Bitcoin available for purchase. 14.5 million bitcoins are illiquid at the moment. This is because the supply of bitcoin has not changed and they have never been traded. The highest concentration seems to be long-term.
The asset allocator also tweeted that the increase in holdings of this liquid supply by 27% (a total 4,000,000 BTC) would result in no coins remaining for sale.
#BitcoinIlliquid supply (not tradeable) stands at 14.5 Million
When those who are #HODLThe 14.5 Million Bitcoin would allow them to increase their Bitcoin holdings by 27% or 4,000,000 $BTCThere would only be 0 coins left for sale.
Continue to buy and HODL. Supply and demand will always prevail. pic.twitter.com/RUb6gHSif6
— CC15Capital (@Capital15C) January 24, 2022
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The market’s sell-offs were also a boon for other whales. This is because the supply of foreign exchange is decreasing. Large investors make sure they have enough to meet demand when it happens.
Here’s how to buy $1 billion in #BitcoinIn 2 months.
From $0.0 in November 2021 up to more than $1 Billion today.
If you are in panic, sell your property $BTCThis is the guy who bought it.
Buy, #DCA #HODL. pic.twitter.com/fmjpCFjCEI
— CC15Capital (@Capital15C) January 25, 2022
Two months later, an impressive amount of BTC has been accumulated by a whale wallet which had zero BTC at the beginning of November. The account appears to have bought with the crash, and it has been doing so since. As of the writing date, the wallet balance was $1,013,777.643.51.
Featured Image from TokeneoBit. Chart by TradingView.com