Are Bitcoin whales profiting?

Kabir903

Bitcoin whales seem to be profiting from the recent surge in Bitcoin, as on-chain analysts have observed a significant increase in funds flowing into centralized cryptocurrency exchanges.

According to CryptoQuant Quicktake by anonymous cryptocurrency analyst Phi Deltalytics, the influx of BTC whale funds into exchanges currently constitutes a large portion of the total funds flow on trading platforms.

Whales may be profit-taking
Analyst Woominkyu's another quick report from May 25th shows that long-term Bitcoin whales' unrealized profits have been quite high, especially with Bitcoin hovering above $60,000. Woominkyu explained in his post analyzing the charts that whales' profits are increasing, but they have not yet been realized.

The analyst identified a point indicating a significant increase in their unrealized profits, suggesting that these BTC investors are holding their positions. However, he warned that measures to realize profits could impact the market.

Approximately 24 hours after Woominkyu's post, Phi Deltalytics announced a significant surge in Bitcoin trading inflows, most of which seemed to be from whales.

"This surge may indicate that whales are taking significant profits in the 2024 Bitcoin bull market. While acknowledging that such indicators occasionally produce false signals, caution is still needed when interpreting market dynamics," Phi Deltalytics stated.

Long-term holders cashing out
In addition to Bitcoin whales, long-term holders of digital assets have also been cashing out. Three days ago, Woominkyu observed that the Spent Output Profit Ratio (SOPR) of long-term holders surged above the 7-day moving average, surpassing that of short-term holders.

This indicates that the former group realized more profits than short-term holders.

Furthermore, Woominkyu explained that the SOPR of long-term holders has been declining for years. However, at times, this ratio would increase before Bitcoin prices soar. These increases indicate that long-term investors are taking advantage of price surges to realize profits. With SOPR currently high, investors should be cautious of potential price adjustments and increased volatility.

Meanwhile, BTC is consolidating between $60,000 and $70,000, suggesting that if the cryptocurrency rebounds to $70,000 and is rejected there, a significant decline may occur.

Pooja193

Surely they're here for profit too.

Kalkin995

It's definitely certain that they're here to profit.