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Bitcoin Nears All-Time High as Whale Behavior Suggests Further Upside

Bitcoin continues to show signs of recovery as its price rebounds from a brief correction last week. At the time of writing, the crypto is trading at $109,693, reflecting a 0.4% increase over the past 24 hours. Despite this upward movement, the current price remains roughly 2% below its all-time high of over $111,000, recorded last month.

This ongoing strength in price performance has been accompanied by notable on-chain signals, particularly from large holders. CryptoQuant contributor Crypto Dan recently analyzed the current market structure and behavior of Bitcoin whales.

Bitcoin Whale Behavior Suggests Further Upside

In his latest analysis, Dan observed that despite Bitcoin hovering near record levels, there is little evidence of the profit-taking behavior typically observed during previous market tops. According to him, whales are not engaging in mass selloffs, suggesting that these investors expect the rally to continue.

Bitcoin net realized profit and loss.

Dan emphasized that these large holders are likely waiting for more pronounced market euphoria and higher valuations before initiating substantial sell activity, a pattern often seen near the final stages of a bull market.

Whale Exchange Activity Indicates Similar Move

Further reinforcing the current sentiment, another CryptoQuant analyst, Darkfost, highlighted a significant trend in Binance whale behavior.

According to Darkfost, historical data shows that when Bitcoin approaches or breaches its all-time high, there is typically a sharp rise in exchange inflows, driven by whales seeking to take profits.

Bitcoin whale to exchange flow on Binance.

This pattern was visible during earlier cycle peaks, where inflows reached $5.3 billion in early 2024, and even higher levels of $8.45 billion and $7.24 billion in previous cycles.

In contrast, recent inflows to Binance remain substantially lower. Darkfost reports current inflows hovering around $3 billion, and more importantly, on a declining trajectory. This divergence from historical patterns suggests that whales are refraining from selling at current levels.

Their reduced activity implies an expectation that higher prices may lie ahead, and that they are positioning for potentially greater returns later in the cycle. This restraint from large holders is seen as an important signal, especially given the influence whale movements can have on market liquidity and price action.

Bitcoin (BTC) price chart on TradingView

Featured image created with DALL-E, Chart from TradingView


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