Whales Moving Coins Hints At Bitcoin Maturity As Macro Asset

Keshav Verma

1 year ago

3 mins read

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Data shows large transactions are rising in dominance as whales are moving their coins. This hints at Bitcoin’s increased maturation as a macro asset.

Large Transactions Are On The Rise On The Bitcoin Network

According to the latest weekly report from Glassnode, large transactions are becoming increasingly dominant on the BTC network, hinting that whales and institutional investors are showing rising interest in the crypto.

The relevant indicator here is the total transfer volume breakdown by size (7-day moving average). This metric classifies the total transactions happening on the network into specific ranges based on the size of the transfer.

Here is a chart showing the trend in the Bitcoin volume based on the various transaction sizes:

Large transactions are growing dominant in the BTC market | Source: Glassnode

The above graph shows that trading volume has again surged back recently after plunging down during the month of June and staying low ever since. Such high volumes show that there is a lot of interest going on in the coin right now.

There is a box on the chart that covers the volumes between $13.6 billion and $16.8 billion. This box highlights the two regions of most volume where values were close to the all-time-high (ATH).

The difference between both the peaks becomes apparent on a closer examination of the chart. It looks like transactions of size higher than $10 million have become increasingly dominant recently, when it wasn’t the case during the bull run in the first half of the year.

Such large transactions belong to whales, institutional investors, trading desks, and other high worth entities. A rise in these entities shifting around their coins suggests that Bitcoin has become more mature as a macro asset.

BTC Price

At the time of writing, Bitcoin’s price floats around $49.9k, up 20% in the last seven days. Over the last thirty days, the crypto has lost 0.6% in value.

The below chart shows the trend in the price of the coin over the last five days:

Bitcoin's price shows some uptrend after moving sideways for the past few days | Source: BTCUSD on TradingView

Over the last few days, BTC mostly moved sideways after a very sharp move up. This changed yesterday when the coin finally showed some movement up and today the coin retested $50k.

Right now, the coin has rebounded back down a little, but Bitcoin will probably continue to test the level in the next few days. It’s unclear if BTC will break through the level anytime soon, or if it will correct lower in the short term.

Featured image from Unsplash.com, charts from TradingView.com, Glassnode.com

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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