During the last weekend, Bitcoin and other major cryptocurrencies had lost their crucial price level. However, this weekend the scenario appears to be different as the King currency has gained its $20,500 level back while Ethereum is trading above $1,500 along with other large cap currencies on a green zone.
However, the most important and testing zone is around next week when the Federal Reserve’s next FOMC meeting which is scheduled on November 2, 2022. At the moment, Bitcoin is trading at $20,745 after a surge of 3.13% over the last 24hrs. Ethereum has gained 6.38% in the last 24hrs and is trading at $1,593.
Meanwhile, it’s observed that since 2021, the crypto whales have been getting rid of their Bitcoin holdings. The on-chain analytic firm, Santiment claims that while crypto whales are dumping Bitcoin, retail investors are grabbing BTC. As of Oct 2021, whales had nearly 50% of Bitcoin supply before they started to dump.
Bitcoin Accumulation vs Bitcoin Selling
The firm displays a chart where the blue line indicates wallets that are holding 100 to 10,000 Bitcoins and it has been declining since 2021. As of now, crypto whales own 45% of Bitcoin supply. While the red line points towards wallets that hold 0.01 to 10 BTC who are retailers. These retailers held 14% of BTC supply in Oct 2021 and now they claim 15.80% of Bitcoin supply.
As per the US Securities and Exchange Commission (SEC) filings, large mining firms like Core Scientific just hold 24 BTC in Oct 2022.
Also Morgan Stanley report makes it clear that 78% of Bitcoin that has been purchased in the last six months is not used for any transactions. It is expected that once Bitcoin reaches $22,000 level, they will dump their holdings.