According to CryptoPotato, on-chain analysis reveals a surge in Bitcoin (BTC) whale activity for transactions over $10 million, now constituting 30% of the recent transaction volume. This increase matches a peak observed only once in 2023 and indicates renewed market confidence driven by Bitcoin's price movements, anticipation of the upcoming halving event, and potential approval of a spot BTC ETF.
Glassnode data showed that the whales' share in transaction volumes, specifically in the $100K to $1 million range, accounted for 24% of the total volume. A similar trend was noticed in the $1 million to $10 million range, with volumes as high as 28%. These findings suggest that major whale activities have predominantly influenced recent BTC transactions. In contrast, smaller investors' transaction volumes have shown a decline.
The current BTC transaction volume figures resemble the significant whale activity observed during the 2021 bull market, emphasizing the importance of these whales within the Bitcoin network. The growing institutional adoption, exemplified by companies like Ark Invest, Blackrock, and MicroStrategy, has contributed to the escalating whale activities. Ark Invest's Cathie Wood recently emphasized the limited supply of Bitcoin, with only 21 million ever to exist, highlighting that "if institutions start pushing in, the price could go parabolic."
This significant surge occurs as Bitcoin appears poised for its next bull run, with prices reaching highs of $38K recently. BTC is currently trading approximately 120% higher than its starting price of the year. At the time of writing, Bitcoin traded at $36.5K, marking a minor decrease from its price 24 hours earlier. This drop comes just 48 hours after the asset reached its 18-month high of around $38K. The recent frenzy surrounding ETFs has been the primary driving force behind the price movements. The approaching Bitcoin halving also contributes to BTC's upward trajectory, attracting more whale investment. Analysts suggest that these recent price actions indicate that Bitcoin has higher price targets, including $45K, $68K, and $74K.
