Bitcoin Whales Accumulate 1 Million BTC Amid 24.3% Price Decline

Bitcoin (BTC) has been trading below the $90,000 mark, currently at $82,346, which represents a 24.3% decline from its peak of over $109,000 in January. Despite this downward trend, recent on-chain data indicates a resurgence of high-net-worth investors, or "new whales," who have been aggressively accumulating BTC. This trend could have significant implications for the market's future trajectory.

According to CryptoQuant analyst onchained, a distinct group of Bitcoin holders with at least 1,000 BTC, acquired within the past six months, has been actively accumulating. This trend, which began in November 2024, has accelerated in recent weeks, with these new whales amassing over 1 million BTC in total and adding more than 200,000 BTC just this month alone.

Onchained’s analysis suggests that this unprecedented accumulation trend indicates strong confidence in Bitcoin’s long-term outlook. The rapid expansion of new whale holdings implies that institutional investors or high-net-worth individuals are increasing their exposure to Bitcoin. The data further reveals that the majority of these newly acquired holdings are being retained for short periods (less than six months), reinforcing the idea that investors see value at current price levels and are willing to hold despite market fluctuations.

If this accumulation trend continues, it could serve as a strong support mechanism for Bitcoin’s price in the coming months. Onchained also speculated that Bitcoin could revisit its all-time high and potentially break beyond it, mentioning possible price targets of $150,000 or even $160,000. However, market conditions, liquidity, and investor sentiment will play a crucial role in determining the sustainability of this trend.

While whale accumulation suggests strong long-term conviction, another CryptoQuant analyst, BilalHuseynov, has pointed out potential concerns about Bitcoin’s demand momentum. His analysis shows that Bitcoin saw peaks in demand in both March and December 2024, marking the first time two demand peaks have occurred in close succession. However, following the March peak, a significant decline in demand has been observed.

BilalHuseynov compared the current trend to previous market cycles, specifically the 2017-2018 period, when momentum peaks were followed by price fluctuations and a gradual decline in demand. While factors such as market size, trading volume, and liquidity have changed significantly since then, the current trend suggests that Bitcoin’s demand may be softening, which could impact price movements in the near term.