Bitcoin whale transactions soared to their highest levels in four months during the recent crypto market crash on August 5 and 6. As Bitcoin’s price fell below $50,000, wallets holding between 10 and 1,000 BTC quickly accumulated more of the digital asset.
Santiment reported that during the market downturn, there were over 28,000 Bitcoin transactions exceeding $100,000. Nearly 6,000 transactions were worth more than $1 million. The sharp decline saw Bitcoin lose about 18% of its value in one day, dropping from above $60,000 to under $50,000. However, the price has since rebounded slightly, reaching around $57,000.
CryptoQuant CEO Ki Young Ju highlighted that more than 400,000 BTC moved to long-term holder addresses since early July. This indicates strong accumulation. He noted that some whales sold their holdings between March and June; there is currently no significant selling pressure from these long-term holders.
Bitcoin whales had purchased nearly $23 billion worth of the asset over the past month. Their activity peaked during the market crash. Interestingly, days before the slump, Bitcoin whales were moving their assets off exchanges at the highest rate in nine years; signaling a strategic shift.
However, U.S.-based Bitcoin exchange-traded funds (ETFs) saw outflows of $554 million between August 2 and 6. This raised concerns about the market’s direction. The absence of ETF buyers during this dip has alarmed analysts, with 10x Research noting it as a potential red flag for the market’s future.
