Bitcoin (BTC) whales took advantage of the market decline and accumulated an amount of 66,940 BTC in their accumulator wallets on February 6th, marking the highest amount of large investor action in the current cycle.
This large influx of capital occurred shortly after Bitcoin price reached $60,000 on February 5th. Reaching lowest price since October 2024.
These investors had over 1,000 coins in their wallets, absorbed the available supply during the pullback, and sent their assets to long-term custody wallets.
As seen in the graph, this is the largest entry in this cycle, as shown by on-chain data platform CryptoQuant, which identified the movement of this address cohort.
This flow was directed to wallets that simply receive Bitcoin on an ongoing basis, without recording expenses or results.typically characterizes whales, institutions, or long-term investors.
This behavior comes at a time when Bitcoin reached an all-time high of $126,000 in October. Since then, it has suffered a decline of about 50%. Last week alone, the price fell more than 20% to nearly $60,000, but today it has rebounded to $71,000.
Although the outlook for BTC and the crypto market looks bleak, whale performance can be interpreted as positive, at least until last week. When the market became anxious and prices fell, major companies bought assets at low prices and pulled them out of circulation, confident that prices would rise in the future.
Surrender and fluid flow
This absorption phenomenon coincides with an increase in the flow of stablecoins to exchanges, which can be interpreted as renewed interest in Bitcoin and cryptocurrencies by investors. According to a report by CriptoNoticias, approximately $102 billion of stablecoins (mainly USDT and USDC) were transferred to trading platforms.
However, this does not guarantee an immediate price increase, and there is still a possibility that Bitcoin will continue to correct, warns Joanne Wesson, founder and CEO of Alphactal, a market intelligence firm specializing in cryptocurrencies.
Specialists analyze scenarios using the market capitulation oscillator, which measures the strength of selling pressure based on the hash rate and the magnitude of the price drop.
According to the indicators, The market has officially entered the capitulation phase, which is characterized by large losses. Wesson believes that the market has not yet stopped suffering, stressing that this process will be gradual rather than sudden and will include multiple failed attempts at price recovery.
Whale accumulation suggests the market bottom may be near, but the technical structure indicates volatility will continue as supply shifts from weaker hands to higher conviction investors.