According to a recent analysis by Ki Young Ju, CEO of CryptoQuant, long-time Bitcoin holders—also known as “ancient whales”—have seen a noteworthy increase in income, measuring in at 223%. This large increase in profitability occurs at a critical juncture, since Bitcoin is about to experience its prearranged halving event in less than a day.
On the one hand, it may appear that ageing whales with significant Bitcoin holdings and earnings run the danger of wanting to cash out sooner. Nonetheless, considering that short-term BTC investors’ unrealized profits have practically completely vanished, it is perhaps the short-term holders that represent the bigger danger. As a result, there is less motivation to sell more.
https://x.com/ki_young_ju/status/1781231607040381046
The greatest scenario for more market clearing in the lead-up to and during the halving would likely be if the price of bitcoin drops even further, causing panicked short-term investors to liquidate their holdings in large quantities at a loss. Long-term holders, however, are not very concerned about how the Bitcoin halving will effect the price right now as they continue to hold and record at least triple-digit gains.
Two questions
In the cryptocurrency world, there is a lot of expectation and anxiety as the halved clock approaches its end. The event has historically been linked to increased market volatility and significant changes in investor sentiment.
Nevertheless, long-term investors are unwavering despite this uncertain environment because of their significant profits and unwavering faith in the fundamental worth of Bitcoin.
All eyes are on the old whales and their gains as the crypto world prepares for the upcoming big event. Will they choose to take advantage of their profits, which can cause volatility in the market? Or will their dedication to long-term holding techniques win out and stabilise Bitcoin during the volatility?
