Large Bitcoin (BTC) holders are executing a quiet but significant accumulation strategy. In the last seven days, Bitcoin whales accumulate an impressive 29,600 BTC. This activity occurs despite a sharp market correction that has erased over 20% from recent highs. Currently, Bitcoin is trading above $101,000, after briefly falling to $99,600 two days ago, demonstrating renewed confidence from institutional investors and early adopters.
According to CryptoQuant data, wallets holding between 1,000 and 10,000 BTC have added approximately 29,600 Bitcoins to their reserves. Analyst JA Maartun highlighted that the combined balance of these wallets, known as “whales,” increased from 3.436 million to 3.504 million BTC. This marks the first phase of significant accumulation since late September. These large entities, typically institutions and early holders, are buying into market weakness, not fleeing from it. This behavior contrasts sharply with retail sentiment, which has turned fearful after heavy liquidations and ETF outflows.
Last week, over $1 billion worth of leveraged positions were liquidated. Additionally, US Bitcoin ETFs recorded over $2 billion in redemptions. Historically, such divergence between “smart money” accumulation and retail caution has often characterized end-of-cycle corrections, rather than the start of new bearish trends. This suggests that Bitcoin whales accumulate with a long-term view, leveraging current volatility as a strategic opportunity.
Will whale accumulation strengthen Bitcoin’s $100,000 support?
JPMorgan, meanwhile, forecasts that Bitcoin will reach $170,000 in the next 6 to 12 months. They state that the deleveraging of perpetual contracts is behind us and that Bitcoin is historically undervalued relative to gold. This, according to Balchunas on X, implies “significant upside potential in the next 6-12 months.” This optimistic outlook aligns with the accumulation strategy observed in whales.
By absorbing nearly four times the weekly mining supply, whales are tightening the liquid supply on exchanges and strengthening the key $100,000 support zone. This accumulation comes amidst macroeconomic headwinds, such as the Federal Reserve’s cautious tone on interest rate cuts. Such conditions have weakened demand for risk assets and contributed to the recent drop in the cryptocurrency. However, these circumstances have created a liquidity vacuum that whales appear to be shrewdly exploiting.
