As the flagship crypto hovers around $67,000, the movements of the “whales” are capturing attention. In recent days, on-chain data has revealed a significant increase in the number of these large addresses, with a level not seen since the bull market of January 2021. Indeed, this massive accumulation by whales, combined with a rise in power of institutional and individual investors, leads to the following question: is Bitcoin about to break a new all-time high before the end of 2024?
The comeback of the whales
The latest data shows a situation that cannot be ignored: the number of addresses that hold at least 1,000 Bitcoin has reached 1,678, a peak that has not been observed since January 2021. At that time, Bitcoin was flirting with $69,000, one of the most important moments in the history of the crypto market. According to Glassnode, this current accumulation signals renewed confidence among large investors, known to significantly influence long-term price direction. As has explain André Dragosch, director of research for Europe at Bitwise, “this increase in whale addresses shows that many investors are anticipating a new peak, comparable to that of 2021”.
Such a concentration of capital by whales is often interpreted as a bullish signal, because it reflects a desire to maintain large positions over the long term. Indeed, each address in this category today holds the equivalent of $67 million in Bitcoin, a figure which attests to the crucial role that these players play in price dynamics. It should be noted that this return of whales coincides with a stabilization of prices, which prevents more severe corrections after phases of significant volatility.
The growing involvement of individual and institutional investors
While whales are often at the forefront of analyses, individual and institutional investors are not left out. According to new data from CryptoQuant, retail investor demand has soared 13% over the past 30 days. This increase in retail activity, similar to that observed in March 2024, helped to support the rise in the price of Bitcoin, which is now approaching its previous all-time high. Thus, this rise in demand is a strong sign that interest in Bitcoin remains high, among large players, but also among individual investors.
Institutional investors, for their part, continue to play a driving role in this bullish rally. In addition, their massive investments, facilitated by increasingly favorable regulations, contribute to the strength of the market and strengthen general confidence. With Bitcoin currently just 10% off its previous ATH, many investors believe conditions are ripe for a new peak. However, the market remains volatile.
In sum, the accumulation of Bitcoin by whales and the growing enthusiasm of retail and institutional investors are positive signals for the near-term outlook of the market. If the current trend continues, Bitcoin could well set a new all-time high before the end of 2024.
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