Bitcoin whales started the month of June with a rather slow activity, if compared to previous summaries. In this week particularly there were no movements between unknown wallets, and the figures of their activity were quite humble comparatively speaking.
All the data collected in this summary can be found in the reports of Whale Alert on Twitter. And before we show you the details of Bitcoin whales activity, we want to highlight that this article is just a look at one of the factors that influence the price of BTC.
Bitcoin whales activity in the first week of June
Throughout the first week of June, Bitcoin whales mobilized a total of 57,451 BTC as the summary chart shows. At this time the predominant trend was the introduction of liquidity in the market, thanks to the transfer of 27,841 BTC from unknown wallets to exchanges. This is equal to 48.46% of the weekly total.
It was also recorded that whales accumulated 18,984 BTC mobilized from exchanges to unknown wallets. That is, 33.04% of the total mobilized by the whales left the market.
Finally, we have that whales started June moving 10,626 BTC between exchanges (18.50% of the weekly total). As you may have noticed, this has been one of the slowest weeks you’ve had in months when it comes to Bitcoin whales. That’s why it’s time to explore what happened in the Bitcoin context.
Evaluating BTC performance
The Bitcoin market has had a relatively quiet week, both in price action and demand for transactions on the blockchain and securities settlement. Prices have moved within a narrow range between a high of $ 39,242 and a weekly low of $ 34,942.
Meanwhile, activity on the blockchain in terms of active users, liquidated volume and transaction fees, on both Bitcoin and Ethereum protocols, have fallen back to the levels observed in 2020 and early 2021. Mempool congestion has largely cleared as the market remains uncertain around the bullish or bearish bias of the current market structure.
A feature of bull markets is the increased demand for transactions on the blockchain and securities settlement. The net result is that activity, transaction volumes and priority fees skyrocket. This is the result of both increased demand from investors, and the incentive for older hands to spend their tokens at higher prices. This week in particular, demand growth in the chain has slowed markedly.
More details
According to Glassnode, since January 2021, the number of active Bitcoin addresses has maintained a level around 1.15 M addresses per day, coinciding with the peak of 2017. It should be noted that in 2017, this level was reached only for a few days, before plummeting more than 33% during the first sale. The current cycle maintained this high activity in the chain for 5 months.
During the recent liquidation, the Bitcoin network experienced a reduction in active addresses, by 18% from recent highs to about 0.94 M. This drop is about half of the reduction observed in 2017, indicating that although activity has slowed, there is more demand than after previous macrocycles.
Putting all this together, with the Bitcoin whale activity observed we will notice that the most accurate overall conclusion is that the Bitcoin market started the month of June with a rather slowed activity.
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