Find out what Bitcoin whales can do in the next year. Are they as relevant as you think? It depends on what they decide to do with BTC.
Bitcoin whales are one of the most relevant actors in the crypt world. These creatures are usually those institutions, exchanges or individuals that possess large amounts of BTC, or at least enough to have some influence on the price of BTC.
During 2020 we have observed their development closely, and in different ways they have manifested themselves in the market. The interesting thing about whales is that they cannot always be on the surface, and sometimes they divide their long-term strategy to go unnoticed.
In the last few months when Bitcoin has been booming, after months of stagnation, whales have remained active. We can see this in each of the weekly summaries we’ve presented to you over the months.
However, with only a few days left before the end of 2020, it’s valid to ask ourselves what role Bitcoin whales can play in the coming year. That’s why we invite you to read on.
Bitcoin Whale Activity During the Week – Accumulation or Sale?
Role of Bitcoin Whales in 2021, relevant or not?
The role of Bitcoin whales seems to be very relevant at first glance. However, as institutional investments increase, precisely those that are pure accumulation, it becomes more difficult to say or claim that Bitcoin whales are the most influential players in BTC pricing.
The „original“ whales, so to speak, have been taking advantage of BTC’s historical highs to sell and make a profit. This, instead of decreasing their value, has meant that more large companies or individuals are buying in mass. These would be the new whales of the future, the institutions.
The combination of a shortage of Bitcoin in the exchanges and institutional buying in over-the-counter outlets sets the stage for fighting for the remaining supply. Therefore, price increases are the only logical response.
Bitcoin isn’t a bubble, it’s the future
Something that CryptoQuant CEO Ki Young Ju also mentioned a few days ago, the movements of USDC in Coinbase give us a hint of what Bitcoin whales can do. According to him, „As long as these whales deposit in Coinbase, the price of BTC is likely to go up. Recently, there are deposits of USDC whales. I think that could be one of the upward signs.
Putting all of the above together, we can say that the Bitcoin whales that have so far not sold their tokens may influence the market, but in a very superficial way. However, the institutions that are accumulating at the moment, are the ones that can have a more relevant role in the future performance of Bitcoin.
What’s clear is that if things continue as they are, we’ll be able to witness new Bitcoin highs. Nevertheless, we invite you to keep an eye on our weekly reports, which will also remain in the coming year.