Bitcoin Whales Dump 40,000 BTC, Sparking Altcoin Surge
1min read Bitcoin whales have offloaded over 40,000 BTC, leading to a significant decline in the cryptocurrency's price and a mixed performance among altcoins. The sell-off, which began after Bitcoin's price slipped below $80,000, has resulted in a market cap of $1.7 trillion for BTC, with altcoins gaining ground despite a decline in BTC dominance.
On-chain data reveals that whales have been repositioning their assets, dumping over 40,000 BTC as the crypto market experienced a deeper dip. This move is likely an attempt by traders to mitigate losses, although bulls remain optimistic about a potential recovery. Traditionally, asset repositioning can extend the bear phase, but an influx of institutional investors can help salvage the market.
Several experts have projected a recovery by April, citing on-chain and macro factors. In a recent report, Matrixport predicted that the bear sentiment could extend between March and April before institutional investors pour funds into the market. Last year, institutional funds pushed Bitcoin to multiple all-time highs, consolidating gains recorded after the approval of spot ETFs. These products have attracted over $39 billion in inflows since January 2024, with traditional finance players increasing their asset exposure.
As traders offloaded BTC, some redirected their assets to altcoins to capitalize on the dip. According to Ali Martinez, Solana (SOL) has experienced major macro shifts after several whales bought the dip. In the last 72 hours, traders also purchased 170 million ADA, and ETH bulls joined the party after the price fell below $2,200. Top meme coins like Dogecoin and Shiba Inu also traded similarly amid investor interest. Most altcoin enthusiasts target spot ETF approval to ignite price leaps, which is expected to usher in the much-anticipated altcoin season.
