BTC falls again below USD 8,000. Stablecoins have been moved in and out of exchange houses.
In the past days, several things have been occurring simultaneously in the cryptocurrency market. First of all, the price of Bitcoin fell back below USD 8,000, and thus cryptowhales have been moving large quantities of stablecoins like USDT and USDC at exchange houses.
Besides, the few Bitcoin movements observed seem to indicate a trend somewhat contrary to the accumulation of value, since they are transactions made from unknown wallets to different exchange houses.
Bitcoin and Cryptowhales
After the price of Bitcoin fell back below USD 8,000, cryptowhales have not moved large amounts of this cryptocurrency. The few that have been observed have been from unknown wallets to exchange houses such as Binance and Coinbase, which in some way reverses the trend that had been showing accumulation of BTC.
Some examples observed were two movements, one for 1,046 BTC and another one for 627 BTC. Probably, they are having a conservative approach because the price of Bitcoin in the market is falling, either to wait to buy when it falls further or to keep the amount that they already have, waiting for the cryptocurrency to recover.
In other words, they are not selling or buying in large quantities. Instead, they are moving stablecoins to wait to analyze the market, determine what is occurring and decide on the course that allows them a greater benefit.
Some graphs by Whale Alert show how the changes in the price of the most popular cryptocurrency can take place in a matter of hours. Cryptowhales are thus preparing their next movements to face the variations of the price of Bitcoin and see how they can influence them for their own economic benefit.
Stablecoins in Motion
As mentioned above, the largest or most constant transfers that cryptowhales have made in recent days are USD Coin (USDC) and Tether (USDT), both of which are stablecoins.
However, USDC is a stablecoin backed by the US dollar; it is an Ethereum token and the only stablecoin backed by decree currently compatible with Coinbase.
On the other hand, USDT is a stablecoin whose main objective is to have a 1:1 value against the US dollar.
Interestingly, cryptowhales are moving these cryptocurrencies from one exchange to another, rather than accumulating them. Whether they want to exchange their amounts for US dollars or other cryptocurrencies, these operations are probably aimed at protecting themselves against the fluctuation of cryptocurrency prices, such as that of Bitcoin.
Since these institutions have a considerable influence on the market, cryptowhales’ transfers should not be taken lightly as they may be waiting for the best time to emerge.
At the moment, Bitcoin is struggling to return to the USD 8,000 level, but the depth of its fall seems not to be entirely completed. However, there are those who fervently believe that in mid-November it will exceed US $ 10,000. For their part, cryptowhales have not been buying or selling large amounts of this cryptocurrency but have chosen to move stablecoins.
By Willmen Blanco