Reason for the decline? Bitcoin whale activity is decreasing significantly

Recently, crypto analyst Ali Martinez noticed a large decline in bitcoin whale activity starting around March 14. This observation comes at a time when the crypto market, especially for bitcoin, has cooled down considerably. According to Martinez’s analysis, there has been a sharp decline in the number of transactions exceeding $100,000, just after bitcoin’s recent peak at $73,750 each.

Decrease in large transactions by bitcoin whales

Martinez’s data shows that in the last 24 hours there were 2,896 transactions worth more than $100,000 and 521 transactions exceeding $1 million. This is significantly less compared to the period before the peak, which saw approximately 4,500 transactions worth more than a million dollars each, and approximately 24,500 transactions worth more than $100,000, recorded daily.

https://x.com/ali_charts/status/1784146303963840978

The impact of whale activity on the bitcoin price

The lack of significant whale activity appears to be playing a role in bitcoin’s current market situation, which is struggling to maintain momentum as volatility declines. The reduced participation from these large investors deviates from previous patterns, where their active trading has often coincided with large price moves in bitcoin.

Martinez suggests that an uptick in whale activity could potentially be a catalyst for a bullish trend in the bitcoin market. With the market closely watching these developments, many are speculating whether an increase in trades by major players will actually drive the price of bitcoin higher and restore volatility.

This potential change has investors and crypto enthusiasts on alert, looking for signs of a market recovery driven by the resurgence of bitcoin whales.

If the bitcoin whales return, there is a chance that the bitcoin price will test the resistance around $73,000 again. If this entry does not materialize, $60,000 is an important support to stay above.