- Data showed major Bitcoin whales sold at an average of $40.5K.
- Large amount of BTC moved to OTC desks in response to a Bitcoin ETF approval, signaling miners’ caution.
Even though the price of Bitcoin [BTC] has risen to higher levels, new data suggested that whales did not secure the most favorable deals for their Bitcoin.
Whales miss out
According to recent data, the average price at which big Bitcoin whales who’ve been actively trading in the last month sold their BTC is $40.5K.
This group consist of whales whose latest transaction occurred within the last 30 days, holds over 100 BTC, and have a wallet unlinked to centralized exchanges.
This indicates missed profit opportunities. Their actions might contribute to short-term downward pressure.
The realization that active whales didn’t maximize their profits might influence market sentiment. Traders may interpret this as a sign that even large holders aren’t confident in a sustained bullish trend.
What are miners up to?
In the last three weeks, 700,000 Bitcoin has been transferred to Over-The-Counter (OTC) desks, which are platforms favored by miners. This movement coincided with the approval of a spot Bitcoin Exchange-Traded Fund (ETF).
OTC desks are places where large Bitcoin transactions happen directly between parties, often used by miners and big investors for substantial trades.
This significant transfer of Bitcoin to OTC desks could indicate strategic actions by miners in response to the approval of a Bitcoin ETF.
The cautious approach of miners in utilizing OTC desks could also signal concerns about market conditions, potentially influencing broader investor sentiment and contributing to a more uncertain price trajectory.
Additionally, such significant movements away from traditional exchanges may limit the immediate visibility of these transactions in public markets, potentially leading to increased price volatility and unpredictability.
Moreover, daily miner revenue declined. Declining revenues could increase selling pressure on Bitcoin as miners will be forced to sell their BTC to keep up with mining costs.
Source: Blockchain.com
Read Bitcoin’s [BTC] Price Prediction 2024-2025
Additionally, as the date for the halving inches closer, the potential of fee generation for miners declines further which could impact the price of BTC negatively as well.
At press time, BTC was trading at $51,847.69 as its price declined by 0.26% in the last 24 hours.
Source: Santiment