Everyone is aware of the world’s largest cryptocurrency, Bitcoin (BTC). Even the average Joe is aware of crypto today. With the surge of new coins in the market today, BTC seems to be losing its charm.
On Sunday, the quantity of Bitcoin (BTC) whales—wallet addresses with 1,000 or more BTC—dropped to its lowest level since August 2019.
According to crypto analytics company Glassnode, there were 2,027 whales on Sunday, February 19; the previous time their number fell this low was August 5, 2019, when they were 2,023.
With each whale having close to $25 million in BTC at its current price of about $25,000, owning that much of the digital currency is a significant act of faith. Just under 2,500 people were BTC whales at their peak in February 2021, but since then, their numbers have been slowly declining.
The number of whales increased from 2,117 on February 21 to around 2,286 on March 23 during the market rise that took place between February and March 2022, notwithstanding this tendency.
Whale Behavior And Bitcoin Price Correlated?
The so-called mega whales, or those with more than 10,000 BTC, which, at the current exchange rate, would be an investment worth over $250 million, don’t exhibit the same tendency.
Only 117 mega whales are present, which is not far from the historical peaks of 123 in November 2022 and 126 in October 2018. Their actions have typically had significantly less of an impact on the price of bitcoin.
Notwithstanding the significant fluctuations in the price of the virtual currency we have witnessed over the past five years, the number of smaller investors in BTC, or wallets holding more than one coin, has gradually climbed.
Now, there are 982,000 wallets holding more than one Bitcoin, a significant increase from 788,000 in February 2020 and roughly 814,000 at this time last year.
The news is released at a time when the price of Bitcoin has increased in 2023 after plunging sharply in the later half of 2022 as a result of the high-profile failure of the cryptocurrency exchange FTX.
At the time of writing, Bitcoin (BTC) was priced at $24,702.72 and had taken a plunge of 0.48%, over the last 24 hours.