The crypto market experienced notable volatility this month, influenced by several factors, most notably the movements of 'whales' – large investors who hold massive amounts of cryptocurrencies, and their movements can significantly impact prices.

Key features of the volatility this month:

  1. Sudden rise and fall in prices:

    Major currencies such as Bitcoin$BTC and Ethereum $ETH

    saw an increase at the beginning of the month due to massive purchases from whale wallets, prompting retail investors to enter the market driven by FOMO (fear of missing out).

    Sudden sell-offs:

    In the middle of the month, some whales began selling large amounts of Bitcoin and altcoins, causing a strong correction wave and a rapid drop in prices, as the market lost approximately 8-12% of its market value over two days.


    Increase in large wallet activity:

    Data from blockchain movement tracking platforms like Whale Alert showed intense whale activity, with millions of dollars worth of cryptocurrencies being moved from private wallets to exchanges, which is often interpreted as a sign of intent to sell.


    Volatility due to political and economic events:

    Alongside whale movements, geopolitical tensions and some central bank decisions regarding interest rates increased uncertainty and drove investors towards rapid fluctuations between buying and selling.


    Increase in trading of altcoins:

    We also noticed an increasing interest this month from whales in some small alternative projects, leading to sudden price spikes followed by sharp declines, a phenomenon known as 'pump and dump.'

Summary:

It can be said that whale movements were a key factor in the market volatility this month. Due to the large size of these wallets, any purchase or sale directly affects the market sentiment as a whole. Therefore, traders are advised to closely monitor whale activities and market news before making their decisions, being cautious of emotional impulses.