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Bitcoin and Ethereum Whales Remain Cautious as Exchange Inflows Stay at All-Time Low

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Tue, 01/11/2022 - 10:27
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Arman Shirinyan
Whales do not seem to actively move funds as the crypto market remains in uncertainty
Bitcoin and Ethereum Whales Remain Cautious as Exchange Inflows Stay at All-Time Low
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Ethereum and Bitcoin whale activity on the market does not seem to follow the general tendencies that traders saw back in March and October. In addition to inactivity, exchange addresses are still missing both Ethereum and Bitcoin inflows, while non-exchange addresses continuously accumulate.

Whale address activity

During crypto market corrections, whales tend to enter the accumulation phase and buy more coins or tokens to increase their position and cover losses in the future, when the market rebounds.

This trend is usually followed by a spike in the activity of large addresses on the chain. But according to data provided by Santiment, whales are not showing the same transactional activity that we have witnessed before during similar market conditions.

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On today's market, approximately 13,000 transactions appear on the chain that exceeds the $100,000 threshold. The same value in the previous correction periods was at approximately 40,000 transactions for Bitcoin.

Ethereum's on-chain data looks better

While the activity of Bitcoin whales leaves something to be desired, Ethereum's exchange inflows are still staying close to all-time low values. At the same time, with exchanges not receiving any coins, whale-tier addresses are continuously accumulating additional funds, which are usually considered a bullish sign.

The top of non-exchange addresses' holdings has reached the all-time high of 25 million coins. Such a large part of the supply on those addresses is most likely being held by private funds rather than major retail investors.

At press time, Ethereum is trading at $3,100 after losing 18% of its value in the last four days. Due to a global cryptocurrency market correction, major altcoins lost approximately 20% of their value.

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About the author

Arman Shirinyan is a trader, crypto enthusiast and SMM expert with more than four years of experience.

Arman strongly believes that cryptocurrencies and the blockchain will be of constant use in the future. Currently, he focuses on news, articles with deep analysis of crypto projects and technical analysis of cryptocurrency trading pairs.