Bitcoin and Ethereum Whales Capitalize on Market Downturn

Major cryptocurrency investors, also known as whales, are taking advantage of the current market downturn in Bitcoin and Ethereum. Despite the recent price drops, large holders of both assets have started accumulating, potentially signaling a bullish trend.

At the time of writing, Bitcoin is trading at $97,300, a 1.4% decrease over the past 24 hours. The flagship cryptocurrency reached an all-time high of $103,700 last week. Similarly, Ethereum dropped 3.3% and is currently trading at $3,750, down from its recent high of over $4,000 on December 6.

Whale Activity on the Rise

According to data from market analytics platform IntoTheBlock, large Bitcoin holders registered a net inflow of 1,900 BTC on Monday, following consistent declines since December 5. Additionally, the number of Bitcoin whale transactions worth at least $100,000 increased by 116% to $93 billion.

Ethereum whales also showed a similar movement, with a net inflow of 61,000 ETH on December 9. The spikes in large holder net flows for both assets occurred as soon as prices started to decline.

Potential Impact on Retail Investors

The sudden increase in whale activity could potentially trigger Fear of Missing Out (FOMO) among retail investors, leading to a surge in prices. Furthermore, over $200 million in USDT entered centralized exchanges on December 9, which is often a bullish sign for the crypto market.

Market Outlook and Macro Events

The global crypto market cap is currently down 6% in the last 24 hours, hovering at $3.65 trillion. However, the daily trading volume surged from $247 billion to $475 billion over the past day. The market-wide cooldown is likely due to expectations surrounding the U.S. Consumer Price Index, scheduled for tomorrow, and the next FOMC meeting, scheduled for December 17 and 18.

If these macro events show bullish signs, the crypto market is likely to experience another phase of upward momentum.

Tips for investors:

  • Keep an eye on whale activity and large transactions, as they can be indicative of market trends.
  • Monitor macro events, such as the U.S. Consumer Price Index and FOMC meetings, for potential impact on the crypto market.
  • Stay informed about market movements and adjust your investment strategy accordingly.

Stay up-to-date with the latest cryptocurrency news and trends on Global Crypto News.

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