- The number of wallets with coins between 1,000 and 10,000 increased sharply.
- More than 60% of Whale accounts on Binance were long Bitcoin accounts.
Bitcoin [BTC] has fallen sharply since the spot ETF approvals, dampening the positive sentiment of market participants.
However, experienced investors who had done their homework on the expected medium- to long-term pricing of the king coin continued to accumulate the asset in large quantities.
Whales on a collecting tour
According to CryptoQuant, January saw a sharp increase in the number of wallets holding 1,000 to 10,000 Bitcoins. This is despite the price having fallen 12% since the peak on the day of the ETF approval.
Source: CryptoQuant
A separate dataset from IntoTheBlock found that whale investors have increased their BTC holdings by 76,000 since the start of the year, worth more than $3 billion at current market prices.
Source: IntoTheBlock
Optimism for the future
“Buying the Dip,” as it is commonly called, is one of the most popular mantras in investing circles.
Investors buy assets when the price has fallen. with the expectation that the price will increase in the future.
As AMBCrypto previously reported, most market analysts expect significant capital inflows into the Bitcoin market following the approval of spot ETFs.
In fact, one study predicted that the King Coin would reach a value of $100,000 by the end of the year and nearly $200,000 by the end of 2025.
These positive forecasts could prompt experienced investors to ignore the near-term dip and pack their bags for the eventual supercycle.
Another interesting metric that reflected whales’ optimism towards Bitcoin was the number of long positions they took.
According to AMBCrypto's analysis of Hyblock Capital's data, more than 60% of whale accounts on Binance were long the King Coin at press time.
Long exposure has increased significantly since spot ETFs were approved, lending weight to the arguments made earlier in this article.
Source: Hyblock Capital
Grayscale drains continue
Meanwhile, bitcoin continued to exit the Grayscale Bitcoin Trust ETF (GBTC) with net outflows of $255 million on Friday, according to AMBCrypto's analysis of SoSo Value data.
Read Bitcoins [BTC] Price prediction 2024-25
ETFs other than Grayscale saw net inflows of $269 million.
Since listing, spot ETFs have accumulated $756 million as of January 26, heavily impacted by GBTC outflows of more than $5 billion.
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