The number of Bitcoin [BTC] whales, referring to entities holding more than 1K coins, has surged in 2024, reaching levels reminiscent of early 2021. This surge occurred just before the cryptocurrency skyrocketed to its previous cycle peak of $69K.
As per data from Glassnode, the whale entities totaled over 1660 as of October 23.
Responding to the rise in significant BTC investors, Andre Dragosch, the head of research at Bitwise, pondered whether this development could indicate a potential new all-time high (ATH).
“The total number of #Bitcoin whales has just hit levels not seen since January 2021! Are new ATHs on the horizon?”
Looking back to 2020, the number of whales increased from 1650 to over 1760 before BTC surged to a new ATH the following year. Whether history will repeat itself in 2024 remains uncertain.
Whales Targeting 4 Million BTC
According to CryptoQuant, the combined holdings of whales currently stand at 3.9 million BTC as of now.
This amounts to a significant $261 billion, representing close to 20% of BTC’s total market capitalization. Since mid-2023, whale entities have purchased around 670K BTC.
However, not all groups of whales have been aggressively accumulating. As per Santiment data, those possessing 100K to 1 million BTC have been actively accumulating during 2024. Meanwhile, those with holdings of 1K to 10K BTC have reduced their exposure.
Nevertheless, in general, whales have acquired more BTC compared to retail investors, according to CryptoQuant analysts. They remarked,
“Since the beginning of 2024, the holdings of larger investors (with 1-10K BTC) have outpaced the holdings of retail investors consistently. Currently, retail holdings have grown by 30K BTC, while larger investors have amassed 173K BTC.”
Santiment data indicated a slower growth rate for those holding less than 10 BTC in recent months.
Conversely, investors with holdings of 100 to 1000 BTC have expanded their positions, increasing their market share from 19% to 20%.
Despite the sluggish growth in the retail BTC stash, the overall trend has leaned towards a strategy of holding, evident from the rise in BTC accumulation balances.
Analysts view these trends as encouraging signs for a potential new ATH attempt by BTC, but only time will tell.