More than 80% of Bitcoin is held in wallets containing 10 Bitcoins or more, data shows.
Data suggests that a significant portion of Bitcoin may be in the hands of a limited number of large wallets, indicating increased concentration.
As Bitcoin (BTC) adoption increases, ownership continues to concentrate among larger wallets, leaving individual investors with a shrinking share, according to new data from Santiment.
As of May 13, wallets holding at least 10 Bitcoins - estimated at around $1 million or more - control over 82% of the total Bitcoin supply that has been mined. Analysts from Santiment suggest that only about 17.5% of Bitcoin is held by wallets "holding less than $1 million in Bitcoin."
Wallets containing 100 Bitcoins or more - currently valued at over $10 million - now hold over 60% of the total supply. Santiment noted that the 10-100 Bitcoin group can generally be classified as "primarily consisting of small institutional investors," while wallets exceeding 100 Bitcoins are mostly held by "institutions and liquidity providers (with some exceptions from large retail wallets, of course)."
Approximately 3.47 million Bitcoins remain in wallets containing less than 10 Bitcoins, estimated at around $358 billion. Whether this smaller group continues to hold or sell may depend on market sentiment in the future, according to analysts.
"Historically, significant price drops tend to trigger retail panic selling, followed by larger wallets absorbing more loose coins that retail is no longer comfortable holding long-term."
