Data: Bitcoin whales hoarded 122,588 BTC during recent market chaos

Large Bitcoin holders appear to be buying aggressively during the recent price correction, raising optimism that the sell-off may be coming to an end.

According to data from Glassnode, Morgan Creek’s Anthony Pompliano recently concluded that Bitcoin whales (entities holding between 10,000 and 100,000 BTC) bought 122,588 BTC at the peak of Wednesday’s market crash. The majority of traffic to cryptocurrency exchanges comes from the United States, as evidenced by Coinbase’s Bitcoin premium reaching $3,000 at one point.

Cryptocurrency hedge funds interviewed by Bloomberg also reiterated that they were in fact bargain hunters. London-based MVPQ Capital and ByteTree Asset Management, as well as Singapore-based Three Arrows Capital, all bought into the dip.

Kyle Davies, co-founder of Three Arrows Capital, told Bloomberg:

“People who borrowed money to invest, they’ve been wiped out of the system [...] Whenever we see large liquidations, it’s an opportunity to buy. I wouldn’t be surprised if Bitcoin and Ethereum recoup their entire losses in a week.”

As Cointelegraf recently reported, at least one well-known whale who sold Bitcoin at $58,000 has not only re-accumulated but also increased their Bitcoin holdings. The unknown entity sold 3,000 BTC on May 9 and then bought back 3,521 BTC in three separate transactions on May 15, 18, and 19.

Bitcoin prices fell below $32,000 on Sunday as traders continue to test the limits of a new bearish range. On Wednesday, Bitcoin briefly fell below $30,000 — a level that seems extremely unlikely to be breached again — before quickly recovering to $37,000. However, overhead resistance has limited Bitcoin's rebound to no more than $42,000.