Whales Anchor Pre-Halving Rebound with Unprecedented Accumulation

Will Whales Drive the Pre-Halving Rebound?

Bitcoin's pre-halving correction may have hit a speed bump after one of the biggest accumulation days in years, with the digital asset recapturing the $71,000 mark.

Whales Accumulate Vast Quantities

On March 25, Santiment revealed that Bitcoin caught traders off guard with a swift recovery, as "key stakeholders" amassed a substantial amount over the weekend. Entities holding 10 to 10,000 coins ("sharks" and "whales") scooped up 51,959 BTCUSD—worth roughly $3.4 billion at the time. This represents an astonishing 0.263% of the entire circulating supply purchased in a single day.

Halving Impact Expected

With the highly anticipated Bitcoin halving less than three weeks away (on or around April 19), Santiment anticipates that these whales will continue to strengthen their positions, potentially buoying the overall crypto market.

Pre-Halving Retrace Concerns Abate

Crypto pundits have been fretting over a significant pre-halving pullback, assuming that history would repeat itself. However, BTC has only dipped about 17% from its March 14 record peak of $73,738, with a low of $61,494 on March 20.

Pre-Halving Retrace Comparison

Technical analyst Rekt Capital suggests that if this correction ends soon, Bitcoin will have nearly matched the 2020 pre-halving retracement. "Bitcoin pulled back -18% in this cycle whereas BTC retraced just over -19% in 2020," he observes.

Bullish Momentum Signals

The analyst had previously predicted that the current pre-halving retrace would be "on the shallower side" and potentially shorter than historical norms. Given the recent surge in whale accumulation, Bitcoin could be poised for a continuation of its bullish trend.