Bitcoin Whale definition and certain overview in 2023

I. What is a bitcoin whale?

Bitcoin Whale

 Bitcoin whales are organizations and individuals that hold large amounts of bitcoin

Cryptocurrencies are one of the areas that attract a large number of investors. There are many concepts that are born during the course of the cryptocurrency market. In it, bitcoin whale is a special concept, to describe all investors who hold up to 40% of all BTC currently on the market.

At this rate, Bitcoin whales have the power to manipulate and influence the market greatly. In other words, they can cause the market to crash at any time. We can easily see their influence, because all transactions are stored completely transparently on the blockchain.

II. Who are the bitcoin whales in the market?

There are many “bitcoin whales” at the moment as more institutions and big companies “dump” money into this popular cryptocurrency.

In Particular, Tesla has invested 1.5 billion USD and Square 50 million USD. Huobi, which has $6 billion in bitcoin, and the Bulgarian government, which has $9 billion in assets, are both larger than these sums. An anonymous account user can keep up to $1.5 billion on their account.

But the biggest bitcoin whale right now is a programmer by the name of Satoshi Nakamoto, who has a total of 1 million Bitcoins, which is equivalent to 50 billion USD. But no transactions have ever been made by the account holder. This is both the query and evidence that the inventor of bitcoin is no longer alive.

These names are subject to change. Because if there is a large capital, anyone can buy and hold more bitcoins in their wallet.

Bitcoin WhalesA mysterious person is holding up to 1 million bitcoins

III. How Bitcoin Whales Manipulate the Crypto Market?

Market activity is significantly influenced by Bitcoin whales. Every time they move, they frighten the fry and influence the market. Devaluation is one of the Bitcoin whales’ favorite tricks. They spend a significant portion of their bitcoin, then sell them for extremely low prices that are lower than the exchange’s going rate for comparable cryptocurrencies.

Small investors will be psychologically impacted and believe that the market will decline in the future when orders are sold at excessively cheap prices. With this forecast, a lot of people began to panic and sell off their cryptocurrency holdings at a loss in order to protect themselves.

This causes a domino effect among investors. The cryptocurrency’s price will then fall as much as the bitcoin whales desires.

As soon as the price has dropped to the best. Bitcoin whale orders will be canceled. At this point, Bitcoin whales start buying cryptocurrencies at the lowest prices on the exchange.

This is a common strategy of Bitcoin whales and is called “Sell Wall”.

Contrary to Sell Wall, FOME is how bitcoin whales increase the market price. They place an order to increase prices on the floor to make investors panic and fall into the “trap”, pushing the price up. Then, inexperienced fry will have to accept higher prices.

In contrast to other financial markets, this occurs extremely infrequently. because they are all carefully regulated and subject to legal restrictions. But because the bitcoin business is still so young, not all countries have recognized cryptocurrencies yet.

Since trading laws are not yet available, it is easy for bitcoin whales to utilize methods to manipulate the market without breaking any rules because of this weakness.

bitcoin whale 3

Whales use Sell Wall tactics to manipulate the market

IV. How to unmask the tricks of bitcoin whale

Perhaps BTC whales often use tricks to manipulate the market, and anyone can infer this. However, it happens a lot for people to fall into the trap. The fundamental cause is that traders lack the skills necessary to correctly examine and assess the market.

Investors can easily and rapidly acquire transaction information because all transactions are readily available and public on the blockchain. This means that while buying and selling coins, whales can be seen manipulating the market.

Based on this, investors should develop their on-chain analytical skills and use third parties to synthesize and search up the information they require if they want to prevent unchecked manipulation.

According to experts, understanding and applying on-chain analysis will help us understand the market, understand the trend of cash flow as well as know the intentions of bitcoin whales. From there, it’s easier to control your mind.

IV. Cryptocurrency Movement Trends of BTC Whales

If you pay attention and learn carefully, whales will have some familiar behaviors when moving their possessions. Here are some forms that investors should be aware of:

Transfer cryptocurrency from exchange to wallet (Exchange to Wallet)

The trend of transferring cryptocurrencies to cold wallets for reserve means that there will be a loss of cryptocurrency in the market. From there, the supply will decrease, creating a scarcity and the price will be pushed up.

Transfer money to the exchange

Contrary to the above trend, if BTC is transferred to the exchange, the number of BTC on the exchange will increase. Buying and selling BTC will no longer be scarce. This is a sign that the price will go down in the near future.

However, the opposite is true for USDT. When the amount of USDT is pushed to the exchange, the intention of the bitcoin whales is to use USDT to buy cryptocurrency and accumulate more assets for themselves.

Transfer BTC from one exchange to another (Exchange to Exchange)

In order to receive the differential profit of the exchanges, whales will implement the strategy of transferring BTC from this exchange to the locked screen. Due to this very behavior, exchanges have started to be stricter on prices. And we can easily see that at present, the price of the same coin between different exchanges, the price difference is not too high.

Transfer from one wallet to another (Wallet to Wallet)

The big boys holding large amounts of BTC will often silently transfer BTC from one wallet to another without going through OTC so as not to have much impact on the market price. Therefore, very few people can notice this action. However, this is a very important indicator of what the upcoming market trend will be.

V. Some onchain analysis channels about BTC Whales


As can be observed, if we know how to examine something, we can fully comprehend the behavior and goal of BTC whales. Investors can achieve this today with the aid of numerous instruments. But at the same time, other instruments were created with the intent of upending the market, which led to the instability and deception of the consumer’s mentality.

Therefore, it is the responsibility of every investor to exercise extreme caution and carefully evaluate each indicator before making a choice to buy or sell Bitcoin or any other cryptocurrency.

The bitcoin whale analysis by Metalion Ventures is shown above. This post does not aim to offer financial advice; it is purely for informational reasons. So, I hope readers think carefully before trading.

This article contains useful information for you about Crypto by Meta Lion Ventures:

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