Bitcoin (BTC) Whales Are Back in Full Force, Fueling the Recent Bullish Rally

Bitcoin whales are back in full force, with on-chain data showing massive accumulation trends among large Bitcoin holders.

Bitcoin (BTC) whales are largely to thank for the recent bullish rally, as on-chain data from on-chain analytics firm Glassnode shows a massive accumulation trend among large Bitcoin holders.

Different calibers of large Bitcoin holders have been on a buying spree and have contributed immensely to the recent uptick, the firm highlighted in an X post on Thursday. For context, Bitcoin has surged by over 8% since the start of this week and is on track for its largest single-week bullish candle since November. The uptick has contributed to the broader market rebound, with the global crypto market cap now at $2.9 trillion.

For instance, different magnitudes of large Bitcoin holders, or whales, have been busy accumulating the apex asset, Glassnode noted. The firm explained that its Bitcoin Trend Accumulation indicator, which measures market investor sentiment to determine if users are buying or selling Bitcoin over a period of time, showcases this trend best.

Specifically, the analysis highlights the scores among different Bitcoin holders over the past week. Note that a score above 0.5 signals accumulation, while a score below suggests distribution.

For perspective, holders of between 100 and 1,000 BTC have a score of 0.5, indicating a neutral distribution and accumulation trend among this caliber of whales. Further, whales holding between 1,000 and 10,000 BTC accumulated Bitcoin considerably in the past week, with a score of 0.7.

Meanwhile, large whales holding 10,000 BTC or more displayed the highest level of interest in the premier asset. Holders in this category have a nearly perfect score of 0.9, depicting an aggressive accumulation trend among them.

This observation is further supported by the Bitcoin net taker volume, which is now at a 2024 high. According to crypto researcher Ali Martinez, the indicator, which measures the difference between buying and selling volume in the derivatives market, reached a new monthly high of nearly $62 million on Binance.

As such, this derivative bullish disposition, coupled with the accumulation trend, suggests that bulls are solidly behind the recent market rally.

In the meantime, Bitcoin trades at $93,229, retracing slightly from this week’s high of $94,662.