Surge in Bitcoin Wallets Holding 100 BTC
The number of Bitcoin wallets that contain 100 BTC or more has reached a 17-month high, even as cryptocurrency prices continue to decline. Data from blockchain analytics company Santiment reveals that over 283 new wallets crossed the 100 BTC threshold in August alone. This increase has brought the total to 16,120 such wallets, marking the highest count since early 2023.
According to Santiment, “As crypto prices have let retail traders down, Bitcoin whales are growing in number. A net gain of +283 wallets holding at least 100 BTC has emerged in just one month.”
Increase in Bitcoin Holdings Among ‘Sharks’
The trend of accumulation is not limited to the largest Bitcoin holders, known as whales. Wallets holding between 10 and 10,000 Bitcoins, referred to as “sharks,” have also been increasing their Bitcoin holdings. Santiment estimates that these wallets have collectively accumulated over 133,000 BTC in the last 30 days, which is valued at more than $7.6 billion.
Whale Activity Amidst Price Decline
This uptick in whale activity comes at a time when Bitcoin’s price has seen a substantial drop. Adam Back, CEO of Blockstream and Hashcash inventor, noted that since Bitcoin’s price fell from over $62,000 to around $58,000 on August 28, whales have been actively buying. He remarked, “Whales are back, buying 450 BTC per day every minute all day long since the dip on the 28th, same as Bitcoin mined per day. Go ahead, sell them cheap corn.”
Santiment suggests that smaller traders, feeling the weight of price drops below their entry points, might be offloading their holdings, which the whales are quickly absorbing. Crypto analyst Axel Adler Jr speculated on September 1 that these smaller traders may be under pressure to sell as prices continue to fall.
Crypto Market Sentiment
The current state of the crypto market is reflected in the Crypto Fear and Greed Index, which sits at 26, indicating a state of “Fear.” Throughout August, the index recorded more days in the “fear” range than in “greed,” with an average rating of 37. Adler warned that if the metric continues to decline, the number of individuals willing to sell coins at a loss could double, highlighting the tense market environment.
Rise in Crypto Millionaires and Wealth Accumulation
In a surprising twist, the number of crypto millionaires worldwide has surged, with 85,400 individuals now classified as such—a 111% increase from the previous year. The number of individuals holding over $1 million in cryptocurrencies has also risen by 95%, totaling around 172,300 crypto millionaires globally.
Moreover, the ranks of the ultra-wealthy in the crypto space have expanded, with 325 “centi-millionaires,” those holding more than $100 million in digital assets, marking a 79% increase. Over the last year, six new billionaires have emerged in the crypto sector, raising the total to 28.
For the third consecutive year, Changpeng Zhao, the founder and former CEO of Binance, has topped Forbes’ list of the richest crypto billionaires, boasting an estimated net worth of $33 billion. This highlights the explosive growth and wealth potential within the cryptocurrency realm.