Bitcoin (BTC) continues to face downward pressure, trading at $61,605 with a market capitalization of $1.213 trillion, a 1.33% decrease. This selling pressure is also affecting the overall cryptocurrency market, as Ethereum (ETH) struggles to keep its price above $3,000.
Bitcoin Whale Activity Rises
Recent data from on-chain data provider Santiment shows a surge in whale activity for Bitcoin trades between $61,000 and $64,000. Wallet addresses holding between 1,000 and 10,000 BTC have collectively accumulated around $941 million worth of BTC. This accumulation trend indicates a recovery towards the highest holding level seen in the past two weeks.
According to Ki Young Ju, CEO of crypto data platform CryptoQuant, the fundamentals of the Bitcoin Blockchain are strong enough to support a market value three times its current size. He believes that the leading cryptocurrency could easily reach a price of $265,000 based on these fundamentals.
Crypto analyst Rekt Capital suggests that following Bitcoin’s fourth block reward halving, the bull cycle is expected to slow down and consolidate below the $70,000 threshold. This slowdown aligns with the historically repeating block reward halving cycle and could potentially continue until October 2025.
Ethereum Whale Accumulates $32 Million Worth of ETH
Meanwhile, data from on-chain data provider Lookonchain reveals that a significant investor has withdrawn 6,030 ETH worth $18.09 million from the Binance exchange. This withdrawal transaction has resulted in the accumulation of a total of 10,758 ETH worth $32.14 million from Binance since May 2nd.
Further analysis of on-chain data shows that the whale converted the purchased ETH into stETH and deposited it into the decentralized lending protocol Aave. They later borrowed $28.5 million worth of stablecoins from Aave to reinvest with the goal of acquiring more ETH.
At present, Ethereum is trading just below the $3,000 threshold. Experts warn that if the altcoin fails to maintain these levels, the price could drop as low as $2,700.
Disclaimer: The information provided in this article should not be considered investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies and should conduct their own research.
