The data shows that big bargains are increasingly prevalent as whales move their coins. This hints at the further maturity of Bitcoin as a macro asset.
Large transactions are on the rise on the Bitcoin network
According to the latest weekly report from Glassnode, large transactions are becoming increasingly dominant on the BTC network, which indicates that whales and institutional investors are showing increased interest in cryptocurrencies.
The relevant indicator here is the total conversion volume distribution by volume (7-day moving average). This metric ranks the total transactions that occur on the network into specific ranges based on the volume of transmission.
Below is a graph showing the trend in bitcoin volume based on different transaction volumes:
Large transactions are growing dominant in the BTC market | Source: Glassnode
The chart above shows that volume has risen again recently after falling during June and has remained low ever since. These large amounts show that there is a lot of interest in the currency at the moment.
There is a box on the chart that covers volumes between $13.6 billion and $16.8 billion. This box highlights two areas of most volume where values were close to their all-time high (ATH).
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The difference between the two peaks becomes apparent upon closer examination of the chart. Transactions with volumes above $10 million seem to have become increasingly dominant lately, when they weren’t during the bull run in the first half of the year.
Such large transactions belong to whales, institutional investors, business offices, and other high-value entities. The rise in these entities turning around their coins indicates that Bitcoin is becoming more mature as a macro asset.
BTC price
At the time of writing, the price of Bitcoin is hovering around $49.9K, up 20% in the past seven days. Over the past 30 days, the cryptocurrency has lost 0.6% of its value.
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The chart below shows the currency price trend over the past five days:
Bitcoin's price shows some uptrend after moving sideways for the past few days | Source: BTCUSD on TradingView
Over the past few days, BTC has mostly moved sideways after a very sharp rally. This changed yesterday when the coin finally showed some movement up and today the coin was retested at $50K.
At the moment, the coin has bounced back down a bit, but Bitcoin is likely to continue testing the level in the next few days. It is unclear whether Bitcoin will break the level anytime soon or if it will correct lower in the short term.
Featured image from Unsplash.com, charts from TradingView.com, Glassnode.com