With only eight days left until the US presidential election, Bitcoin whale activity has significantly decreased.
The price of this asset is stable at around $67,000.
Net inflows among large Bitcoin (BTC) holders plummeted from approximately 38,800 BTC on October 20 to 258 BTC on October 26, according to data provided by IntoTheBlock. This could be an indication that the whales are nervous about the November 26 election day in the United States. 5., Approach.
Notably, on October 21st and 22nd, the whales saw net outflows of 4,750 BTC and 533 BTC, respectively. As a result, the price of Bitcoin briefly fell below $66,000 on October 23rd.
Liquidation cools down
Additionally, crypto liquidations have plummeted by 85% in the past day, with the total value hovering around $59 million, according to Coinglass. Due to the overall market cooldown, the distance between longs at $28.7 million and shorts at $30.5 million is very close.
Bitcoin had $5.6 million in liquidations, with $2.2 million long and $3.4 million short.
Bitcoin has approached the $67,000 level over the past week, giving it a market capitalization of $1.33 trillion. The company's daily trading volume has fallen 63% in the past 24 hours and currently stands at $15.5 billion.
Declining Bitcoin liquidations, trading volumes, and whale activity suggest uncertainty among investors.
ETFs remain strong
It is important to note that the market has not entered the panic zone yet. After all, inflows into U.S.-based spot BTC exchange-traded funds continue.
According to a report from crypto.news, these investment products recorded net inflows of over $3 billion this month alone. Spot BTC ETFs saw net inflows of $402 million on Friday, led by BlackRock's iShares Bitcoin Trust ETF, which posted $292 million in inflows.
Total net inflows for these ETFs exceeded $22 billion, even though Grayscale's net outflows were $20 billion.
Bitcoin Whales and the 2024 Election
Bitcoin whale activity in 2024, in the midst of a global “super election year,” is likely to take on increased importance as large holders monitor and react to global political developments. shown.
Elections in countries such as the United States, India, Mexico, Indonesia, and Taiwan amplify market uncertainty and tend to trigger large movements in the crypto market, especially by whales.
Elections in several major economies are increasing market volatility. For some whales, Bitcoin as a decentralized asset is seen as a hedge against fiat risks related to election results, fiscal policy, and political instability.
Some whales may try to take advantage of the market turbulence expected after the election. Countries with controversial elections, such as the United States, may see whales fleeing to crypto assets, especially if there are concerns about currency devaluation or restrictive capital controls.
trump vs harris
In the United States, the upcoming presidential election between Vice President Kamala Harris and former President Donald Trump could lead to new or changed regulatory stances on cryptocurrencies.
Signs of tighter regulation could prompt whales to move their Bitcoin holdings to more favorable jurisdictions or sell some of their holdings in anticipation of a market downturn.
If elected, Harris vowed to reduce “unnecessary bureaucracy and unnecessary regulatory bureaucracy” around cryptocurrencies. Meanwhile, Trump is courting crypto billionaires, cashing in on non-fungible tokens, touting plans for a “Bitcoin and Cryptocurrency Advisory Board” and launching his own token.
Selling whales and FOMO: Similar to other major political events, some whales may take a contrarian approach, offloading Bitcoin to secure profits ahead of the volatility that may be caused by the election. There is. This could lead to a wave of FOMO (fear of missing out) buying from small investors following whale wallets.
Overall, Bitcoin whales in 2024 are likely to operate with greater vigilance and strategic foresight, given the intensification of election cycles and the impact on global financial markets.
