Bitcoin whales have been inactive as +10M transactions now account for only 19% of total volume
According to data, Bitcoin whales have been idle recently because the volume of transactions worth over $10 million makes up only 19% of the entire volume.
Bitcoin Volume Dominance Of $10M+ Transfers Declines To 19%
Glassnode estimates that by the beginning of November 2022, these huge transactions accounted for 42.8% of the total volume of Bitcoin. The term “volume” in this context refers to the total quantity of Bitcoin that is traded on the network each day.
The “relative transfer volume breakdown by size” (the relevant indicator here) reveals how much of this BTC volume is coming from the various market-wide transaction size categories. These groups specify the parameters within which the values of the transfers falling under a particular category fall. For instance, the $10,000-$100,000 category consists of all transactions with a value of at least $10,000 and a maximum of $100,000.
Here is a graph that illustrates the trend in the size-based breakdown of relative Bitcoin transfer volume over the past few years:
“Following the collapse of FTX, the dominance of large $10M+ sized transactions on Bitcoin have fallen dramatically. At the start of Nov, $10M+ sized transfers accounted for over 42.8% of all transaction volume. Today, this cohort represents just 19% of total on-chain volume”, Santiment reported.
The dominance of each transaction group in the BTC market | Source: Glassnode on Twitter
The shares of the various transaction categories have changed recently in the Bitcoin market, as shown by the graph above. More particular, the transaction category with transfers valued at more than $10 million (with no upper restriction) has experienced a marked decline in recent weeks in terms of dominance.
This transaction group can be utilized to trace the behavior of these enormous holders since only the whales deal with transactions carrying such big quantities. This cohort dominated transactions at the beginning of November of last year by roughly 42.8%. However, since that time, this group’s share of the volume has decreased to just 19%.
This trend also suggests that these whales haven’t been making purchases recently, either. There would still be a lot of their transactions if they were buying at or near the present lows.
These whales have historically spurred bull runs by becoming more dominant during these times. Therefore, if the indicator indicates any appreciable increases in the volume of these transactions, Bitcoin may experience a return of some bullish trend. But for the time being, this cohort’s activity is still little.
Read more:
- Whale Address That Has Been Quiet For Long Time Suddenly Awakens While Bitcoin Is Anemic
- A Two-Year High In Bitcoin Addresses With More Than 10 BTC