A presence of BTC whale in the crypto market is always associated with either huge pumps or dumps depending on the whale does. Every time a whale move is associated with price manipulation. Well, this usual notion regarding BTC whales is about to change as according to new data from Chainalysis, has revealed that bitcoin whales are a surprisingly heterogeneous group of coin holders who might be doing more good than harm to the market.
BTC Whales more friends than foes
It’s not uncommon that a crypto enthusiast comes across a fall in crypto markets being associated with a whale movement. Whales are always dubbed as villains which manipulate digital asset whenever there is a fall. But if a recent report from Chainalysis is to be believed, these bitcoin whales are a mainly a mixed group of people, with more than half of them not being active traders. The report also puts forward some interesting facts that while the few amongst them who trade have the ability to influence a deep in the market, they tend to buy, not sell during a price decline. Another point that is worthy of making note is the fact that these large holders, being professionals, use the OTC trading platforms that are able to manage the volumes of their transactions with moderate price disruption rather than an exchange.
The report states that the 32 largest bitcoin wallets not on exchanges as at August 2018 account for about one million BTC, or about $6.3 billion. These wallets are then categorizes based on the traits they exhibit, classifying them as traders, miners or early adopters, lost and criminals. Of this number, nine wallets control over 332,000 BTC worth a little above $2 billion and account for about a third of total whale shares.