Bitcoin Drops to October 2024 Lows as Retail Investors Sell and Whales Buy

▲ Cryptocurrency whale

As Bitcoin (BTC) has fallen back to the level where whale investors began large-scale accumulation in October 2024, major holders are increasing their positions further, viewing the decline as a buying opportunity at the bottom.

According to crypto media outlet CryptoPotato, Bitcoin’s recent price decline has brought it back to October 2024 levels. Market analyst CW8900 noted that the current price range matches the zone where whales began aggressive accumulation at that time, and despite the price drop, the pace of whale accumulation is actually accelerating. He diagnosed that accumulation continues even as Bitcoin declines, with its intensity in fact increasing.

A similar pattern is being observed in the Ethereum (ETH) market. CW8900 explained that Ethereum whales have now entered a loss zone comparable to the previous cycle’s bottom, a pattern commonly seen near market lows. He added that large whales are targeting the upcoming rally and continue to accumulate massive amounts of Ethereum in preparation for the next bull market.

Fundstrat co-founder Tom Lee expressed optimism about a full rebound in Ethereum. He emphasized that since 2018, Ethereum has experienced declines of more than 50% on eight occasions, yet each time formed a V-shaped bottom and fully recovered its price. However, not all major investors have endured the current downturn. Trend Research, which held the largest Ethereum long position in Asia, recently realized substantial losses and closed all of its leveraged positions.

Optimism and caution are intersecting in the market. Analyst Wise Crypto warned that a bearish divergence has appeared on the 12-hour chart and that the Market Value to Realized Value (MVRV) indicator has surged, increasing the risk of selling pressure. In a survey conducted by crypto analyst Ali Martinez, a significant portion of respondents also expected further price declines.

On-chain analytics firm Santiment highlighted that Bitcoin often moves contrary to public expectations. The analysis suggests that when fear dominates the market, a strong rebound can instead emerge. Whether whale accumulation can overcome retail investors’ fear and generate new upward momentum will likely determine the market’s direction going forward.

Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses resulting from its use. The content should be interpreted for informational purposes only.