On-chain data shows Bitcoin whales haven’t budged despite the recent dips, and are rather continuing to collect more.
Whales Continue To Accumulate More Bitcoin
As pointed out by a CryptoQuant post, the Bitcoin sum coin age (SCA) indicator has been going up, showing long-term holders are continuing to accumulate.
The SCA is a BTC metric that informs us about the circulation of long-lasting holders. It’s calculated by taking the product of the UTxO (Unspent Transaction Output) alive days and the UTxO value.
The “age” of a coin is determined in “coin days.” When a certain amount of BTC remains unspent for a day, it accumulates some fraction of a “coin day.”
One entire Bitcoin staying unspent collects one coin day. Similarly, if half a coin remains unspent for a day, it picks up half (0.5) a coin day.
With the assistance of the indication, it ends up being possible to inform what the belief amongst long-lasting holders is. A dip in the metric’s value would suggest that whales have started moving their coins, while an increase would imply they are continuing their accumulation.
Now, here is a chart that highlights the pattern of the SCA vs the BTC cost:
As you can see in the above chart, the SCA had a minor dip late July, but since then the indicator has been going up in a straight line.
The dip happened when the BTC cost made a peak, indicating some long-lasting holders chose to offer their coins and take the earnings.
However, these holders were in the minority as most of the whales still held fort and continued to accumulate, creating the recent straight line trend.
Also, as the chart shows, the recent crash in BTC’s cost from above $50k to as low as $43k wasn’t enough to make these whales budge from their positions. The trend shows that these investors believe the price will appreciate further, and thus they continue their accumulation.
BTC Price
At the time of composing, Bitcoin’s cost drifts around $47.5k, up 1% in the last 7 days. Over the past month, the crypto has accumulated 4% in gains.
The listed below chart shows the pattern in the cost of the coin over the last 5 days:
After continuing some strong upwards movement over the past few days, Bitcoin looks to be heading down now. It’s uncertain if this trajectory would hold, however thinking about that the popular golden cross has actually appeared, the marketplace might be bullish.
