Bitcoin Whales Accumulating as Bear Market Floor is Established: Glassnode

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On-chain analysis is increasingly pointing towards the establishment of a bear market bottom which denotes an accumulation phase for Bitcoin whales.

Bear market bottoms are usually times of slow and steady accumulation by institutions, experienced investors, and whales.The report compared two charts, one in the bear market between September 2018 and April 2019 and thethat started in April 2022. They were uncannily similar, each with a capitulation event and bear market rallies.

It also reported an uptick in Bitcoin whale withdrawals from exchanges which is also an accumulation signal as the asset is being stored rather than primed to sell. The net whale outflow from exchanges hit 15.7K BTC, the largest since June 2022. It defines a whale as an entity holding more than a thousand coins.

Glassnode also used a metric called an Accumulation Trend Score to determine aggregated balance change intensity of active investors over the past 30 days. The metric “indicates significant accumulation by large entities has taken place,” it said before adding the current state suggests an equilibrium or neutral market structure, which remains similar to early 2019.

Furthermore, Bitcoin is still trading below key long-term price model indicators, including the 200-week moving average at $23,561 and the realized price at $21,204, according to

 

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