While many Bitcoin whales “woke up” in the last month to sell their BTC during major profits, because it rallied more than $ 122,000, analysts say that it is a good sign of a market in maturity and does not harm the value of Bitcoin.
In an X Post Wednesday, Bitcoin Swan Bitcoin’s financial services company said that the greatest rotation in the history of Bitcoin (BTC) was almost complete because “the old guard is replaced by new titans by a conviction”, such as companies and cash companies.
Earlier in the month, an whale from the Satoshi era unloaded its entire battery of 80 201 Bitcoin, worth $ 9.6 billion, on several transactions.
At one point, during transfers, the price dropped by 4% because the sale was “digested”, but it did not last long, according to the researcher of Bitcoin, Vijay Boyapati.
Meanwhile, the Cryptochent market analysis company agreed that the recent Bitcoin sale came from new whales making the gains, which made Bitcoin do not hold above the $ 120,000 mark.
Crypto analyst Willy Woo said in June that whales with more than 10,000 bitcoin have been sold regularly since 2017, in response to a question on which has sold increased interest in institutions.
Whale sales are good for Bitcoin, explains the co-founder of hedge funds
Addressing Cointelegraph, the co-founder of ZX Squared Capital and investment director, CK Zheng, said that the whales that sold are not negative, because the new buyers jump, which shows a “healthy dynamic of a new bull market”.
The Crypto data search platform said Thursday that portfolios with 10 and 10,000 bitcoins had bought 218,570 additional pieces since the end of March, adding 0.9% of all parts to their portfolios during this period.
Bitcoin entities hold almost half a bill of BTC
Zheng said that institutional players entering space while the release of the OGS is “the natural evolution of the system” and creates a form of order.
Cryptographic treasure, in particular, have proven to be popular with companies trying to expose themselves to Bitcoin.
There are 219 entities which combine 3.6 million bitcoins, worth more than $ 419 billion, according to Bitbo data. This includes funded funds, countries, public and private companies, Bitcoin and Defi operating companies.
“I think that because now you have the corporate treasure, Bitcoin Treasury, which is a kind of institutional order, then the ETF market, they play a different type of dynamic, more in the Wall Street machine,” said Zheng.
“It has become a different type of order in the future evolution of the Bitcoin process; It’s a healthy way […] for future growth. »»
However, in the near future, Zheng said that the volatility of Bitcoin prices will probably continue until Bitcoin becomes “real digital gold”, which could take a few additional cycles of ups and downs.
Bitcoin Whale Exit shows the maturity of the market
Ryan McMillin, investment director of the Australian Merkle Tree Capital cryptography director, told Cintelegraph that bitcoin movements of the Satoshi-Representation era were a slow but clear trend in the financialization of Bitcoin.
“Bitcoin going from these former portfolios, early adopters, cypherpunks and libertarian technicians, institutions and FNB is a sign of market maturity and integration with the financial system,” he said.
This is similar to what Gold obtained its first products negotiated in exchange in the early 2000s and the yellow metal rallied for a decade, going from around $ 350 to $ 2,000 per ounce, according to McMillin.
“The same process should be expected for Bitcoin, because institutions such as pension funds inevitably earn an exposure which will establish an asset allocation, making profits as it increases and adds to the positions when it falls, further reducing the volatility of this asset and making it more investing to more conservative investors such as insurance companies.”
Whales could try to diversify
Sales of Bitcoin OG whales could also be part of a plan aimed at diversifying assets in other potential high growth areas such as artificial intelligence, according to Zheng.
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He said it was a healthy market sign because, overall, the changing hands of hands do not change their value.
“It is no different than if you buy a property. You can be the original owner of the property, but after 10 or 20 years, if the price appreciates a lot or if your situation changes, you may want to change,” said Zheng.
“You may want to sell your property, make the profits and invest elsewhere, and a new buyer buys your property. This does not really change the dynamics of the value of your property. ”
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