[Analysis] Bitcoin Whales Scoop Up Coins as Price Falls to $60,000

Bitcoin whale investors appear to have bought aggressively as the cryptocurrency slid to the $60,000 level.

CryptoQuant contributor Woominkyu wrote on June 10 that recent on-chain data shows large holders actively accumulated Bitcoin while retail investors were gripped by fear.

The analysis identified the past two to three days as the key turning point in the latest decline. During that period, dormant wallets that had been inactive for a long time moved large amounts of Bitcoin to exchanges, sending Inflow Coin Days Destroyed, or CDD, to 2.16 million.

CDD is a metric that rises when Bitcoin that has not moved for a long time is transacted. The move was seen contributing to selling pressure around the $71,000 level.

By contrast, whale buying became clear after Bitcoin fell into the $60,000 to $61,000 range.

The Exchange Whale Ratio rose to 61.6%. That indicates whales accounted for a significantly larger share of large exchange transactions, suggesting they absorbed panic selling in the market.

Over the past five days, whale investors withdrew a total of 11,422 BTC from exchanges, worth about $700 million at current prices.

Those coins were moved to cold wallets, turning netflow sharply negative in the process. That means the supply of Bitcoin available for immediate sale on exchanges has declined.

Woominkyu described the recent trend as a typical transfer of coins from weak hands to strong hands. With more than 11,000 BTC leaving exchanges, the $60,000 to $61,000 range is highly likely to act as an important support level for Bitcoin going forward.

He added that fear still dominates the market, but on-chain data shows long-term investors and whales continue to accumulate.