Bitcoin Whales Increase Holdings Amid Market Uncertainty

Bitcoin Whales Boost Holdings

The number of Bitcoin wallets holding at least 10,000 BTC has been rising, according to Glassdoor, indicating growing confidence in Bitcoin among major investors. This trend suggests whales are preparing for a potential future rally, possibly anticipating favorable macroeconomic conditions.

Recent Accumulation Spree

Santiment reports that Bitcoin whales and sharks have been actively accumulating. After a period of selling between February and March, these investors have resumed buying, adding 5,000 BTC (worth $408 million) since early March. Despite this significant accumulation, Bitcoin's price has yet to react.

Potential Supply Shock Ahead

Santiment predicts that continued whale buying could lead to a supply shock, potentially driving Bitcoin's price up. They suggest the second half of March may see improvements, contrasting with the recent market downturn since Bitcoin's ATH seven weeks ago.

Institutional Outlook and Expert Predictions

Mike McGlone of Bloomberg Intelligence warns of a potential large Bitcoin decline in 2023. He likens Bitcoin's current trajectory to the Nasdaq 100 during the dot-com bubble, predicting a crash after reaching a peak of $100,000. McGlone also forecasts Bitcoin could drop to $70,000 this year.

Market Implications

While whales and institutions increase their Bitcoin holdings, McGlone's predictions highlight the ongoing debate about Bitcoin's future. The cryptocurrency is currently mirroring the stock market's decline, with gold benefiting as a safe-haven asset. Bitcoin's role as a risk-on asset leaves its outlook uncertain, with experts divided on whether it will rally or crash in the coming months.