Reportedly, Bitcoin Whales control 70.52% of the token. One of the whales, control nearly 40%. During the last week of October, 2021 the Whales enjoyed returns of nearly 800% on their investments.
So, if you are wondering how many BTC you need to be classified as a whale? Usually, USD 10,000,000 is a whale. The minimum to become one is around 1,000 Bitcoin. The largest whale is USD 50,000,000.
BTC whales can be individuals or organizations who own 1,000, 10,000, 50,000, and 100,000+ bitcoin. Whales are entities that hold more than 100,000 BTC and they would be considered a “mega-whale,” and there are only three bitcoin addresses in existence with 100,000 BTC or more.
Just like there are Bitcoin Whales there are also Altcoin Whales. For those who are new, Bitcoin (BTC) is a decentralized digital currency where transactions can be done between users on the bitcoin network without the need for intermediaries.
When an individual or entity happens to hold a large amount of Bitcoin, they have the potential to manipulate currency valuation and are referred to be a Bitcoin Whale. The holders with large volumes of Bitcoin are significant in their position and are called whales because when they move their value, this disturbs the cryptocurrency waters in which retail BTC traders trade.
According to the Pareto principle, 80% of the consequences come from 20% of causes. This serves as a general reminder that the relationship between input and output is not balanced in situations of Whale Dominance.
The top 20% of bitcoin holders have moved more than 80% of bitcoin value in US Dollars. Around $80 billion, sits in just over 100 individual accounts. The top 40% of all bitcoin which is (approximately $240 billion) is held by just under 2,500 known accounts, out of roughly 100 million in total.
WHALES IMPACT ON BITCOIN PRICE
According to Coin Desk, the number of addresses holding more than 1,000 bitcoin is at 2,334, which is a new all-time high in terms of the number of accounts.
The Sun reported that when such whales made a single trade this, in turn, created huge changes in the price of bitcoin, thus swamping movements by smaller retail investors.
Bitcoin whales could trigger a crash with just 2500 people controlling nearly half of the market. Experts warned that bitcoin whales who hold a stunning sum of cryptocurrency could crash the market.
Bitcoin during specific time frames of high volatility soars to record sums. Some investors have become multimillionaires and Billionaires due to its phenomenal rise. The fear that bitcoin “whales” hold too much continues to exist due to reasons relatable to their probable influence on price.
In just a few years some investors become a multimillionaires.
David Gerard, Crypto skeptic once said to the telegraph, “Bitcoin trading market is very thin. There is not a lot of available volumes to trade. The big players can easily move the price. And there are all kinds of trading shenanigans, which would not happen on a regulated market.”
So, it helps to know 40% of the bitcoin market is roughly controlled by 2,500 “whales.” These big players have lots of bitcoin and are very active in the market. Any one of them can crash the market. And, some of such trades have staggering values.
Julie is a renowned crypto journalist with a passion for uncovering the latest trends in blockchain and cryptocurrency. With over a decade of experience, she has become a trusted voice in the industry, providing insightful analysis and in-depth reporting on groundbreaking developments. Julie's work has been featured in leading publications, solidifying her reputation as a leading expert in the field.
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