This article is also available in Spanish.
Bitcoin (BTC) whales appear to be unloading some of their holdings ahead of the hotly contested US presidential election in 2024.
2% decrease in Bitcoin held by whale addresses
In a mail On
Related reading
According to the analyst, there was a 2% decrease in the number of wallet addresses holding 1,000 BTC or more.
Notably, since May, the number of Bitcoin whales reached its highest levels during mid-October when Republican presidential candidate Donald Trump was the favorite to emerge victorious.
At the time of writing, the decentralized prediction markets platform is Polymarket Gives Trump has a 62.7% chance of winning, while Democratic candidate Kamala Harris has a 37.4% chance of becoming the next president of the United States.
Bitcoin whales selling some of their Bitcoin holdings as Americans prepare to vote may indicate a cautious approach, perhaps to mitigate potential price volatility associated with the election.
Do Bitcoin whales anticipate price fluctuations?
The sell-off may indicate that Bitcoin whales are anticipating a tougher regulatory environment for digital assets after the election. This concern may not be unfounded, as the Biden administration has faced accusations of adopting a hostile stance towards the digital assets industry.
Related reading
On the contrary, Trump repeatedly promised to make the United States “the cryptocurrency capital of the world” during his election campaign.
In addition to the whale sell-off, long-term Bitcoin holders appear to be unloading their holdings. According to another analysisMore than 177,000 Bitcoins have been sold by long-term holders in the past seven days.
Another scenario worth considering is that any further decline in whale addresses’ Bitcoin holdings without a corresponding decline in price could signal that retail investors are ramping up purchases of the digital asset.
Notably, demand for Bitcoin among retail investors has been on a steady upward trend since September 2024. According to a recent study a reportRetail demand for Bitcoin rose 13% in the past month, reflecting a shift in risk appetite in the market from risk aversion to risk appetite.
Martinez also drew attention to Bitcoin Sequential TD On the 12-hour chart and how a buy signal flashed.
For the uninitiated, the TD Sequential Indicator is a technical analysis indicator used to identify potential price exhaustion points and trend reversals in the financial markets.
However, a Trump victory may not be the silver bullet for a decline in the price of Bitcoin, as it is now Very important For the top digital assets to maintain the support level of $68,000 to avoid a slide to $63,000. At press time, Bitcoin is trading at $69,595, up 1.3% over the past 24 hours.
Featured image from Unsplash, charts from X and Tradingview.com
Comments are closed, but trackbacks and pingbacks are open.