Highlights
- Bitcoin bulls have increased their holdings in the last two weeks, igniting investor interest.
- This led to a wider market rally as altcoin holders looked to break new resistance levels.
- This comes on the heels of increased inflows to Bitcoin ETFs and other positive developments.
Crypto whales have increased market activity in the last two weeks, tipping sentiments for a positive Bitcoin price movement. On-chain analysts mark bullish signals across the market as prices break past multiple resistance levels. Amid this major impact, several crypto bears opine that unsolved regulatory issues in the United States would be a major obstacle.
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Bitcoin Whales Heighten Activity
Bitcoin whales have become more dominant in the past week accumulating massive amounts of assets from smaller players. This has led to increased price action on the back of the Uptober rally. Traditionally, whale activity leads to upticks due to the volume of their holdings. Miners and institutions fall under this category with similar actions seen in Q1 2024.
WHALES ARE BUYING #BITCOIN LIKE NEVER SEEN BEFORE.
SOMETHING IS COMING BIG TIME 👀 pic.twitter.com/s6npshO0cA
— Vivek⚡️ (@Vivek4real_) October 18, 2024
According to data from on-chain analytics firm CryptoQuant, asset flow into whale accumulation addresses has spiked to high levels as appetite for the top asset increases. This year, the behavior of whales correlates with price movements in certain periods. An example is the pre-halving strategy of miners and institutions.
“There is a high and continuous accumulation of these transfers, especially in the last 3 days. But pay attention to an important point: the effect of this metric is not short-term and is not suitable for scalping, but its medium-term impact is positive.”
Bitcoin ETF Drives Adoption
The approval of spot Bitcoin ETFs by the United States Securities and Exchange Commission (SEC) spurred the recent institutional demand. As projected by policy watchers, the new investment window pushed BTC price to a new all-time high above $73,000 before falling to present figures.
Due to the success of these products, institutions have turned to altcoin ETFs. The SEC approved Ethereum ETFs with Solana products that are under review. Solana enthusiasts speculate an approval as early as 2025, citing the case of Ether.
Can Altcoin Bulls Align?
The upward trajectory of Bitcoin, the largest crypto asset by market cap affects the wider market with altcoin and meme coins notching wins. A look at market charts shows that altcoin prices are moving upwards. Ethereum trades above the $1,600 level, although it previously crawled despite industry events to its favor.
The approval of Ethereum ETF, speculated to become a major driver, didn’t perform in terms of price impact. However, ETH holders are optimistic citing the upcoming U.S. elections which is expected to usher in regulatory clarity and the hike in open interests.
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