Large investors have capitalized on the recent crypto market dip by acquiring Bitcoin at discounted prices. Data supports significant purchase volumes by key players.
Bitcoin Accumulation by Major Players
Bitcoin reached a new all-time high of $109,114 on January 20, 2025, but has since seen a significant dip. According to CoinMarketCap, the asset has dropped by 12.39% to $95,301. However, large market participants have begun accumulating Bitcoin amid this decline. Data from IntoTheBlock shows whales acquired approximately $3.8 billion in Bitcoin during the dip, with a net inflow of about 40,000 BTC on February 5.
Retail Investors Selling, Whales Buying
A post by analyst Axel Adler on February 3 highlights that while retail investors continue to sell their assets, large investors are actively buying Bitcoin. Data from CryptoQuant indicates a decrease in retail holdings since November 2024, whereas large investors have increased their holdings.
Miner Capitulation and Bitcoin Outlook
CryptoQuant data suggests miners are capitulating, possibly indicating optimal entry zones for mid-term and long-term investors. Despite February's rocky start, many believe the industry will continue to grow under Trump's administration. For example, New Mexico has introduced a Senate bill proposing a Bitcoin reserve.
Despite short-term market volatility, large investors remain confident in Bitcoin's long-term potential by acquiring it at reduced prices. These strategies may signal a trend reversal and the onset of a new growth phase.