FameEX Hot Topics | Bitcoin Whales Adopt 'Wait-and-See' Approach as Price Stays Near $96K

A crypto analyst has pointed out that Bitcoin whales are currently holding off on making major moves, even as significant Bitcoin inflows to exchanges are being observed. This cautious approach comes as Bitcoin continues to hover just below $100,000, prompting concerns over potential future market volatility.

On Nov. 2, CryptoQuant contributor Onat Tütüncüler warned of the growing inflow of Bitcoin into crypto exchanges. While there is no immediate selling pressure, Tütüncüler noted that the increased inflows could signal a potential risk of future sell-offs. He emphasized the need to closely monitor these movements, as they could have a significant impact on the market if large transactions begin to materialize.

Tütüncüler further highlighted that large Bitcoin transfers to exchanges have been notable since the victory of Donald Trump in the U.S. presidential election. Traditionally, such transfers are seen as a precursor to sell-offs, but this time, they appear to be part of a broader "wait-and-see" strategy by whales. This suggests that despite the large transfers, there has been no immediate indication of major profit-taking or market exits.

The Adjusted Spent Output Profit Ratio (aSOPR) metric, which is commonly used to track profit-taking trends, does not yet show significant selling activity. This indicates that whales are holding onto their positions, likely waiting for a clearer market signal before making any large moves. Historically, such behavior tends to occur during bullish periods when traders are cautious about selling too early.

Despite this cautious stance, Bitcoin’s dominance in the market is starting to show signs of shifting. BTC dominance has decreased by 5.54% since Nov. 28, suggesting that a rotation into other crypto assets may be underway. While Bitcoin long-term holders are still sitting on substantial profits—averaging around 3,800% returns—experts like Szymon Sypniewicz, CEO of Ramp Network, remain uncertain whether Bitcoin will cross the $100,000 mark by the end of 2024, with expectations for potential market fluctuations along the way.

Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.