Bitcoin Whale Numbers Return To January 2021 Bull Market Levels, Is A New ATH Coming?

Scott Matherson

7 months ago

3 mins read

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Recent on-chain data has revealed a new milestone for Bitcoin whales, i.e., addresses holding at least 1,000 BTC. Notably, the data for Bitcoin whales shows the number of addresses in this category is now at its highest point since the January 2021 bull market levels.

With Bitcoin still trading close to its all-time high, this new whale milestone brings into question a better chance of Bitcoin breaking above and creating a new all-time high very soon.

Whale Activity And Holder Count Reaches New Highs

Bitcoin whales have always been one of the most important indicators for ongoing sentiment among traders and long-term holders. According to Glassnode data presented by André Dragosch, director and head of research for Europe at Bitwise, the number of addresses that fall into the whale category has been on a steady climb since January 2024, where it stood just below 1,500 addresses.

The current market climate and inflow from institutional investors have allowed this upward trajectory to persist over the past months, pushing it past multiple levels. The most recent figures reveal that the number of Bitcoin addresses holding at least 1,000 BTC has reached 1,678, marking the highest point in whale activity since January 2021, during the height of the last major bull run.

What this suggests is that each of these addresses now holds at least $67 million worth of Bitcoin, given the current price of the cryptocurrency.

New All-Time High Incoming?

Whale accumulation leading up to the previous highest level in January 2021 was one of the key factors that drove the Bitcoin price to peak above $69,000 in 2021.

Although the Bitcoin price has now broken above this previous peak to create an all-time high of $73,737 in March 2024, the same accumulation pattern appears to be unfolding. This interesting accumulation of BTC by Bitcoin whales has proven to be the much-needed boost to stop deeper price corrections after a false breakout of a descending triangle earlier in the week.

Even with the false breakout, the overall sentiment around Bitcoin remains optimistic. According to on-chain analytics provider CryptoQuant, it’s not just the whales driving the market. Retail investors have also joined the action. On-chain data shows a 13% rise in retail demand over the last 30 days, a notable increase that mirrors the retail interest seen in March 2024, just before Bitcoin reached its latest all-time high.

Retail on-chain activity returns after 4 months

“In the last 30 days, retail demand grew by about 13%, highlighting a scenario that was only seen in March, when we were close to the last historical high.” – By @caueconomy

Full post 👇https://t.co/VORO90JhVg pic.twitter.com/jHGzjUBgII

— CryptoQuant.com (@cryptoquant_com) October 22, 2024

At the time of writing, Bitcoin is trading at $67,000, having traded between $65,161 to $67,538 in a 24-hour range and $65,441 to $69,227 in a seven-day range.

Interestingly, Bitcoin is only about 10% away from surpassing its all-time high once again. With this increased buying interest and whale accumulation, Bitcoin seems ready for another breakout to set a new price record before the end of 2024.

Bitcoin price chart from Tradingview.com — BTC price pushes above $67,000 | Source: BTCUSD on Tradingview.com

Featured image created with Dall.E, chart from Tradingview.com

Scott Matherson

Scott Matherson is a prominent crypto writer at NewsBTC with a knack for capturing the pulse of the market, covering pivotal shifts, technological advancements, and regulatory changes with precision. Having witnessed the evolving landscape of the crypto world firsthand, Scott is able to dissect complex crypto topics and present them in an accessible and engaging manner. Scott's dedication to clarity and accuracy has made him an indispensable asset, helping to demystify the complex world of cryptocurrency for countless readers.

Scott’s experience spans a number of industries outside of crypto including banking and investment. He has brought his vast experience from these industries into crypto, which allows him to understand even the most complex topics and break them down in a way that is easy for readers from all works of life to understand. Scott’s pieces have helped to break down cryptocurrency processes and how they work, as well as the underlying groundbreaking technology that makes them so important to everyday life.

With years of experience in the crypto market, Scott began to focus on his true passion: writing. During this time, Scott has been able to author countless influential pieces that have drawn in millions of readers and have shaped public opinion across various important topics. His repertoire spans hundreds of articles on various sectors in the crypto industry, including decentralized finance (DeFi), decentralized exchanges (DEXes), Staking, Liquid Staking, emerging technologies, and non-fungible tokens (NFTs), among others.

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