Bitcoin was instantly impacted by the Federal Reserve’s interest rate hike on Wednesday and failed to gain traction. Other cryptocurrencies, such as Ethereum also saw to a decrease in value among the world’s leading cryptocurrencies.
Following the statement by the US Federal Reserve, Bitcoin lost its grip on the important $19,000 mark. According to Coingecko statistics, BTC is currently trading at $18,950, down 5.5% in the previous seven days.
A whale tracker noticed multiple BTC accumulation transactions as the scenario progressed, indicating that whales are buying the downturn.
Whale Alert signaled that over 166,000 Bitcoins have been moved from cryptocurrency exchanges to unknown wallets in the last 24 hours. All reported transactions total more than $3.12 billion.
A cryptocurrency wallet with $40,754,647 in BTC recently submitted the assets to Coinbase, while another Bitcoin whale removed $26,447,771 from the exchange.
The bulk of recorded BTC transfer transactions comprises more than 9,500 Bitcoin. The majority of whale deals, however, take place on the Huobi bitcoin market.
What Defines a “Whale”
A Bitcoin whale is a term used in the cryptocurrency world to describe individuals or organizations who possess large amounts of bitcoin.
These “whales” are Bitcoin investors who own at least $10 million and transmit bitcoin from exchanges when they intend to keep their investments for a long time.
Keeping large quantities of money on an exchange raises the risk of loss since exchange wallets are the most sought-after target for cryptocurrency criminals.
Sign of a Bitcoin Rush?
According to Wu Blockchain, around 43,000 BTC have apparently been moved from the Huobi wallet to Binance in the last few hours. The total outflow has been estimated to be over $820 million.
Hypothetically speaking, the internal movement of funds was driven by consumers’ habitual withdrawal behavior.
Huobi also reported another whale transaction in which 99 billion USDT was sent to an unnamed wallet.
Transfers of cryptocurrencies from wallets to exchanges are frequently a red flag. When whales transfer bitcoin to an exchange, they are frequently looking for liquidity.
The investor is unlikely to want to store their crypto on Coinbase, given the security concerns connected with holding significant amounts of crypto on an exchange outweigh those involved with putting these assets in a hardware wallet.
