The pain continues across the cryptocurrency market, with major assets like Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) suffering even deeper losses.
Against this backdrop, it is worth examining how big investors have responded to the persistent downfall and what their behavior could reveal about the near future.
BTC and ETH Whales Cash Out
Popular analyst Ali Martinez said large Bitcoin investors have sold over 34,000 coins in the past week as the price plummeted from nearly $80,000 to a local bottom under $73,000. The stash is worth roughly $2.6 billion, and this cohort of market participants now holds a little more than 5.24 million units, representing 26% of BTC’s circulating supply.
Massive sell-offs of that type can negatively impact the price for two main reasons. First, they increase the number of coins available on the open market, which could lead to a pullback if demand fails to keep pace. Second, these moves can fuel uncertainty across the space, causing smaller investors to offload their holdings as well, potentially accelerating the decline.
As of this writing, BTC is hovering around $74,000 (per CoinGecko), down 12% on a monthly basis. Those seeking more insight into additional factors that warn of a possible further downtrend ahead can read our dedicated article here.
Martinez revealed that Ethereum whales have also been reducing their exposure, though at a slower pace. Over the last seven days, these investors have parted with approximately 17,800 units, worth roughly $40 million.
The leading altcoin came dangerously close to losing the psychological $2,000 level but managed to stay above it, and it currently trades around $2,060. Many analysts believe holding the $2K barrier is crucial, warning that a breakdown below could open the door to a serious downfall. X user Ted said:
“This is a major support zone for Ethereum, and losing this would be brutal.”
XRP Whales Act Differently
Unlike the behavior observed among large BTC and ETH investors, XRP whales acquired roughly 65.32 million units over the past four days, representing close to $72 million in value. As a result, this group of market participants has once again increased its total holdings to more than 4 billion tokens.
The whales’ accumulation offers a ray of hope for those hoping for a meaningful short-term rebound, yet other factors suggest the downtrend is nowhere near its end. Among those are the overall weakness of the crypto market and the waning institutional interest in Ripple’s cross-border token.
Spot XRP ETFs posted serious outflows over the past two trading sessions, and last week also ended in negative territory.
The post Are Whales Rotating Into XRP? BTC and ETH Holdings Slide appeared first on CryptoPotato.
