Wednesday, August 10

Whales move bitcoin at will. They have $ 724,000M in portfolio

Bitcoin’s rebound above its all-time highs mobilized large investors in the cryptocurrency. Known in slang as “whales,” these investors drive advances after accumulating more coins.

Specifically, investors who have 100 bitcoins or more in their accounts were the most active in recent sessions, according to a report from the exchange house Kraken to which he had access

The weekly average of the bitcoins in their wallets increased 0.25 percent since the beginning of October, reaching a record figure of 724.4 billion dollars, explains the same source.

Similarly, the number of these bitcoin holders increased 1.6 percent. Now, there are 16,156 new investors with more than 100 bitcoins in their wallets, the highest level since May.

More confidence among big investors in bitcoin

The premiere of the first bitcoin ETF on Wall Street was a major catalyst for the currency to make new highs. The product lost almost 5 percent in its first week, something that in the market was seen as expected given the great expectation it generated.

What this fund did open, and the new ones that are already being prepared, is a way for institutional investors on Wall Street to expose themselves to the digital currency. In Europe it could already be done but not in the United States.

The news reinforced the confidence of bitcoin as an asset for the most relevant investors. “The big players in the market have increased their confidence and prefer to accumulate rather than take profits ”, the Kraken report said.

“Given the number of whales and their holdings, it is clear that these investors are the driving force behind this latest rally and they remain optimistic,” the broker noted.

$ 90,000 projections for bitcoin

Following the latest bull rally, the cryptocurrency quadrupled in value this year and broke all-time highs above $ 67,000. This Friday prices corrected to $ 61,000 but the market sees higher levels on the horizon.

Analysts consulted by They explained that the upside targets for bitcoin are around $ 90,000. This pause that the quotation took was foreseeable after the conquest of the maximums.

A break below $ 60,000 could “have been a problem for bitcoin,” following pressure this week, Oanda analyst Craig Erlam said for this report.

But the currency quickly rallied above these levels, which may have “gotten us excited” for the bulls, Erlam added. In his view, the 13 percent drop from highs is a “healthy correction.”

And although this expert does not rule out that there may be more profit taking, “the long-term prospects remain positive,” Erlam added.

World’s largest bitcoin fund accelerates to ETF

The arrival of exchange-traded funds on Wall Street was the factor that changed the whole picture. But this could be just the first step. While the SEC studies the applications submitted by the different managers, the largest bitcoin fund in the world prepares its conversion into ETFs.

It’s about the background Grayscale BitcoinTrust, which manages $ 40 billion in bitcoins. According to David LaValle, global director of listed products, the manager could launch its ETF in July 2022.

Applications for these exchange-traded funds require an analysis of at least eight months by the SEC, the regulator of US markets. With these terms, the world’s largest fund in bitcoins will be a product traded in summer.

For the confidence of the market it is important. Exchange traded funds are based on negotiations with futures contracts, which do not require having physical holdings of currencies.

But Graysacale he would come to the market with his coins. And it is a behemoth because it controls 3.4 percent of the global bitcoin supply.