According to Current Data, Whales Are Accumulating Wrapped Bitcoin! What Does This Mean?

• Santiment mentioned in a post that the transfers of WBTC whales exceeding $1 million have reached their highest levels since March.
• The data seems to indicate increased whale accumulation and interest in Bitcoin proxies ahead of a potential crypto market surge.
• Meanwhile, analyst Charles Edwards emphasized in another tweet that the number of Bitcoin’s long-term holders has increased compared to 2016 levels.

In its latest report, the on-chain firm revealed an interesting data on Wrapped Bitcoin accumulation: How could this have anything to do with Bitcoin?

New Reports Reveal BTC Accumulation

According to on-chain analysis firm Santiment, Wrapped Bitcoin (WBTC) has seen more significant transactions since March. Santiment noted in a post that transfers of WBTC whales exceeding $1 million have reached their highest levels since March. Additionally, WBTC has experienced its largest network growth since July and an increase in new wallets holding 1-1,000 WBTC since July.

The firm mentioned that similar on-chain changes preceded the rallies in March and June of this year. The data seems to indicate increased whale accumulation and interest in Bitcoin proxies ahead of a potential crypto market surge.

Wrapped Bitcoin (WBTC) has experienced notable transaction activity during various periods. On July 1, 2023, WBTC’s trading volume surged above 7,000, marking the second significant increase in just under two months. On August 2, 2023, two large transfers of 2,000 WBTC each affected the WBTC supply on exchanges.

WBTC plays an essential role in using Bitcoin in smart contracts and making the world’s largest cryptocurrency more accessible on decentralized exchanges (DEXs).

Increase in Bitcoin’s Long-Term Holders

Meanwhile, analyst Charles Edwards highlighted in another tweet that the number of Bitcoin’s long-term holders has increased compared to 2016 levels. Edwards believes that this increase in ownership will lead to significant results similar to the 10x price increase during the 2017 bull run, unlike the 2020 run. This strengthened holder base reflects a change in accumulation.

On-chain analyses show an increasing belief in Bitcoin among large traders and long-term investors. Key metrics such as exchange reserves, active addresses, and transaction volume further confirm that accumulation is occurring around the critical support level of $20,000. Blockchain data indicates that holders are positioning themselves for the next bull run.