Bitcoin price breaks above $35,000 as whales cause the biggest daily accumulation spike of 2021 with 60,000 BTC
With respect to price action, the last 48 hours have been eventful for Bitcoin price as the King of Crypto has surged from a local low of $32,699 to a local top of $35,727. The surge in value is also related to the accumulation of more BTC from Bitcoin whales. And the largest daily accumulation of BTC in 2021 saw the number of 60,000 BTC bought in one day.
Whales have accumulated 60,000 BTC in a single day, the Bitcoin price surged to a local top of $35,727
For the first time in weeks, Bitcoin rallied over the weekend with a gain of more than 5% in the past 48 hours. One of the main reasons why BTC rose in price over the weekend can be attributed to a spike in whale buying.
According to Santiment, whales bought 60,000 BTC in one day. “Bitcoin whale addresses holding between 100 to 10k BTC kicked off July with a 60k BTC accumulation spike, the highest daily spike of 2021. These addresses hold 9.12M coins combined after holding 100k less BTC just 6 weeks ago”, Santiment stated.
The accumulation of 60k BTC by whales was also captured by Veteran Bitcoin analyst, Willy Woo, who compared the buying of more Bitcoins to “eating”:
“Nom nom nom… BTC so yummy today.” pic.twitter.com/TLoHyaJtn2
— Willy Woo (@woonomic) July 3, 2021
It should be noted that the accumulation of 60,000 BTC also coincided with yesterday’s largest negative difficulty correction of the network. This week saw BTC mining difficulty drop by a staggering 28% in its biggest single adjustment in history. The adjustment saw the hash rate also hit a new 19-month low of 87.6 TH/s.
The difficulty adjustment is a consequence of China’s compliance with a ban on BTC mining within its borders and territories. Despite the short-term FUD of the mining ban in China, many traders and investors believe this is a healthy event that will further decentralize the worldwide network. Before the mining ban went into effect, China-based Bitcoin miners were estimated to control between 65% and 75% of the hashrate.
The prospect of further decentralization of the network may have created bullish vibes and excitement that resulted in BTC whales accumulating an additional 60,000 BTC in just one day.
China continues its efforts to discourage Bitcoin mining in the country, forcing large mining operations to move overseas or shut down altogether. The drop in hash rate is directly related to the shutdown of miners in China. However, the low hash rate has no negative impact on the current Bitcoin price. Which at the time of writing is currently at $35,300.
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