Bitcoin whales are recording upticks in unrealized profits amid a slowing momentum. A new CryptoQuant analysis shows a rise in the accumulated gains of Bitcoin whales. 

Unrealized Whales’ Profits

“Highlights a significant rise in long-term whales’s unrealized profits, suggesting they’re holding onto their positions and could impact the market if they start taking profits.” – By @Woo_Minkyu

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— CryptoQuant.com (@cryptoquant_com) April 25, 2024

According to the report, long-term whales are seeing huge numbers because of the price increase in the last 12 months. Bitcoin price came out of the 2022 bear market below $20,000 before picking up huge gains. The inflows were due to the heightened institutional investor inflow on spot Bitcoin ETF applications.

Bitcoin Whales Inspired By Spot ETF and Halving 

The approval by the United States Securities and Exchange Commission (SEC) pushed the price of BTC above $72,000 as inflows poured in. Although the price faces a correction trading at $56,661 days after the Bitcoin halving, whales still stand at a profit. 

These long-term holders also appear bullish as more hold on to unrealized gains. Several analysts point to a potential bull run for the hold in unrealized gains. Bitcoin whales see the halving event as a bullish phase for the asset following historic surges after past events. 

Although analysts opine this halving will not be as bullish as in previous years, bulls still hold on to their holdings to take higher gains. Bitcoin miners hedging reserves without making outright sales is another factor behind the whales being bullish on unrealized gains. Inflows into spot Bitcoin ETF is another bullish drive for whales. 

Sales Could Plunge Markets 

Per the report, the sale of assets to realize profits by Bitcoin whales could send the market into the red zone. The huge sell-off can spark wider liquidations in the market plunging the price of crypto assets. 

This year, long-term holders and miner flows have shaped the direction of the market aligning with key developments like ETF approvals as the halving. 

“The circle on the right highlights a significant rise in long-term whales’s unrealized profits, suggesting they’re holding onto their positions and could impact the market if they start taking profits.” 

Also Read: Visa Crypto Unit Launches Stablecoin Analytics Dashboard

The post Bitcoin Whales Taking Unrealized Profits Could Impact The Market: Report appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am