During the past weekend, there was a substantial shift among the top 10 portfolios of Bitcoin whales, as indicated by the Exchange Whale Ratio. This movement represents the most significant transfer of BTC since September 2019 and is also reflected in the Fund Flow Rate, which has surpassed the July 2020 mark.
This transfer of BTCs from the top 10 wallets is significant because the number of wallets withdrawing from exchanges is currently at its lowest level since 2014. This suggests that these whales are moving their holdings to other wallets or storage solutions, potentially indicating a shift in their investment strategy.
The significant outflow of BTCs from the top 10 wallets has also resulted in an increase in the SOPR (Spent Output Profit Ratio) indicator, indicating that these whales are taking profit. However, it is unclear what profit they are taking.
In recent weeks, the price-action in the weekly timeframe tested a significant historical resistance level, bouncing between the two all-time highs of 2021 at 28.6K. The market is currently testing this level with the new candle opening, adding further intrigue to the movement of these whales.
It is important to note that large outflow movements are often followed by periods of high volatility in the market. However, when looking at the NETFlow, which allows us to follow both inflow and outflow, we see that the outflow is not being followed by a counter movement, which may lead to further downward volatility.
As a journalist, it is interesting to observe such movements among the whales, who hold a significant portion of the market’s assets. Although the reason for this transfer of BTCs is unclear, it will undoubtedly have an impact on the market and could lead to further price volatility. It is crucial for investors to closely monitor these movements and market trends to make informed decisions.
