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Recent market data indicating aggressive accumulation of Bitcoin by large investors appears to be a misinterpretation of the exchange’s internal management system.
On January 2, Julio Moreno, head of research at the analytical firm CryptoQuant, said that the signals on the chain initially interpreted as “whale” purchases were mainly caused by stock market activity.
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Bitcoin whales reduce their holdings as capital flows turn negative.
He explained The apparent accumulation was primarily driven by consolidation Assets of digital currency exchanges.
Exchanges often reorganize their digital vaults, transferring funds from several smaller deposit addresses to smaller and larger cold storage wallets.
These technical transformations can mimic a fingerprint A large investor buys huge amounts of Bitcoin. Hence, it creates false positive signals for market followers.
However, Moreno noticed negative trend Among the large stock holders after liquidating the internal transfers on the stock exchange.
According to him, Bitcoin “whales” – entities that own more than 1,000 coins – and average investors “dolphins” were net sellers throughout December.
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The total balance of this batch fell from about 3.2 million bitcoins to less than 2.9 million in December, before correcting slightly to 3.1 million.
Additionally, medium-sized wallets holding between 100 and 1,000 BTC saw their pool drop to 4.7 million BTC.
It should be noted that this distribution activity coincides with A period of fluctuations in the price of an asset. Bitcoin corrected sharply in December, falling from a high of $94,297 to a low of $84,581, according to data from BeInCrypto.
Meanwhile, separate data from TV acquisition technology company Glassnode confirms the sale. It shows that the monthly net capital at the Bitcoin network turned negative at the end of December.
This reversal ended a two-year streak of sustained positive flows that began at the end of 2023.
At the same time, the long haul carriers, Those who are generally firm during the volatility are facing losses at a rate that exceeds the records previously set in 2024.
This sudden increase in realized losses indicates a wave of “investor fatigue” and capitulation among the segment of the market traditionally considered the most resistant.
