Bitcoin’s ‘Elon Musk pump’ rally to $48K was exclusively driven by whales

The Bitcoin (BTC) price rose to over $ 48,000 on February 9, and has been consolidating ever since. Analysts from Material Indicators found that whales were the primary drivers of the rise.

This is largely a bullish signal. The likelihood of a Bitcoin peak will increase when retail investors enter the market en masse, as both the spot markets and the derivatives warm up.

Why do whales raise the price of Bitcoin?

In recent months, so-called “mega whales” have sold large amounts of Bitcoin between $ 33,000 and $ 40,000.

Orders ranging from $ 1 million to $ 10 million have skyrocketed across major cryptocurrency exchanges, including Binance.

But when the bitcoin price began to hold above $ 33,000 after a correction from $ 40,000, buyer’s demand from the whales rose again.

Analysts at Material Scientist said the whales showed an unusually large size, about $ 150 million in 24 hours.

This metric shows that whales are constantly accumulating bitcoin in the wake of the news that Tesla had purchased $ 1.5 billion worth of bitcoin. they He said:

“Finally, whales still drive all this thing and they’re so big! You might ask why it’s so much blue. Bc of whales that have an unusually large ABS net volume ($ 150 million in the last 24 hours)! They usually only make up a small fraction of Total cardiovascular disease, but now they’re in the majority. So, that move to $ 50,000 was driven almost exclusively by whales! ”

CVD data for Bitcoin whale. Source: Materials Indicators

why now?

Analysts say the frenzy over public companies owning Bitcoin is creating positive market sentiment about the dominant cryptocurrency.

Filbfilb, a pseudonymous Bitcoin trader, said that in the current economic environment, shareholders will likely require public corporations to secure exposure after Tesla canceled their Bitcoin contract.

Additionally, Raul Pal, CEO of Real Vision Group, also confirmed that Bitcoin is still early on in its ascent.

In terms of mainstream awareness, there is still an overall low level of awareness of Bitcoin among ordinary investors. In 2017, many retail investors were rushing to buy Bitcoin. Friend explained:

“Today I had a call with my oldest and best friend that I know from the age of 6 onwards. Some are rich and some are struggling. Only 2 bitcoins own out of 12 and I have begged and begged for a year. On the other hand, my yoga teacher keeps asking for bitcoin payments! Early.”