Bitcoin made a strong comeback this week, as it trades close to $85,000 after dumping below $74,000 last Monday. Despite the earlier market chaos triggered by Trump’s tariff imposition and the subsequent 90-day pause, new data revealed that Binance whales are not panicking amid the current period of macroeconomic uncertainty.
This is found after considering two key indicators – the Exchange Whale Ratio and the Binance Whale to Exchange Flow.
Binance Whales Unfazed
First, the Exchange Whale Ratio on Binance, which compares the top 10 inflows to the total inflows, shows a major trend, according to the latest report by CryptoQuant. The 365-day moving average (DMA) is steadily increasing, which indicates that whale involvement in Bitcoin has grown larger over time, especially during bullish phases.
However, the 30-day moving average (DMA) reveals a short-term decrease in whale activity, returning to levels last observed in September/October 2024. This suggests that while whale participation remains significant, their short-term influence may be waning, which could possibly signal reduced selling pressure.
The second indicator, the Binance Whale to Exchange Flow, tracks the 30-day value of whale inflows. The data shows a notable decline, with whale inflows dropping by more than $3 billion – a decrease comparable to previous corrections in 2024. This drop in inflows indicates that whales are less likely to engage in aggressive selling and are opting instead to hold onto their positions.
As such, CryptoQuant’s analysis observed that Binance whales are not reacting to market uncertainty with panic. Instead, they appear to be consolidating their holdings rather than capitulating. Such a trend potentially reflects a sense of cautious optimism or strategy amid broader market volatility.
The same cannot be said for the US institutional investors.
US Institutions Shaken
Investor sentiment in the US was impacted by trade tensions following President Trump’s tariff plans, which prompted a significant rise in outflows from spot Bitcoin ETFs last week. Between April 7 and April 11, institutional investors withdrew a portion of their capital from Bitcoin funds, with total net outflows reaching $713 million.
SoSo Value’s data revealed that BlackRock’s IBIT fund saw the largest outflow, with $343 million in net withdrawals, accounting for nearly half of the total outflows.
Read the full article here