TL;DR
- Crypto whales have withdrawn 4,014 BTC from Binance valued at $227.7 million over the past week.
- An investor withdrew 999.999 BTC, equivalent to $55.09 million, in their first major transaction.
- The massive withdrawal suggests a buying strategy amid the recent 11% drop in Bitcoin’s price.
In the past week, crypto whales have been taking advantage of the recent drop in Bitcoin’s price to make strategic moves.
One of the most notable transactions was made by an investor identified by the address 36LMb, who withdrew exactly 999.999 BTC from Binance, with a total value of approximately $55.09 million.
This massive withdrawal was made while Bitcoin’s price hovered around $55,114 per coin, demonstrating that large investors see the market downturn as an opportunity to accumulate more assets.
This withdrawal is part of a larger trend observed in recent days, where several whales have moved significant amounts of Bitcoin from Binance to private wallets.
A total of 4,014 BTC has been withdrawn, with a combined value of $227.7 million.
Among the main actors, other significant moves stand out, such as the withdrawal of 1,110 BTC ($64.8 million) by the whale identified as 1KuPikh.
Additionally, the address bc1qg also transferred 1,381 BTC, valued at $78.25 million.
These movements occurred between September 2 and 6, coinciding with an 11% drop in Bitcoin’s value.
In this context, institutional investors appear to be executing a strategy based on buying during downturns.
Historically, these large purchases often precede a market recovery, as the accumulation of Bitcoin by whales reduces the available supply on exchanges, which can drive prices higher when demand returns.
What’s next for Bitcoin price?
With the recent decline in Bitcoin’s price, which reached a low of $52,550, some analysts have pointed out that this type of correction can be an opportunity for the market’s major players.
The downward trend also coincided with massive withdrawals from U.S.-listed Bitcoin exchange-traded funds (ETFs), where investors withdrew approximately $1.2 billion over an eight-day period.
However, the market has shown signs of recovery, with Bitcoin recording a 4% increase from last week’s lowest point.
Even some prominent investors, such as Arthur Hayes, former CEO of BitMEX, decided to close their short positions in Bitcoin with a 3% profit.
This move was partially driven by comments from U.S. Treasury Secretary Janet Yellen, who suggested that the government could intervene to mitigate economic risks if necessary.
With recent economic data, such as the addition of only 142,000 jobs in the U.S. in August, below expectations, analysts expect that the Federal Reserve will cut interest rates by 50 basis points this month.
A rate cut could generate more liquidity in the market, which would benefit risk assets like Bitcoin and other cryptocurrencies.
