Looking for Bitcoin Whale

If you observe the data on bitcoin holdings, you will find that anonymous accounts show a worrying trend, that is, the trend of alliances between large accounts is becoming more and more obvious. Whales usually refer to investors who hold between 10 and 1 million bitcoins, and are called whales.

Who is a Bitcoin whale?

Bitcoin whale refers to users who hold large amounts of coins in the crypto industry. They are retail investors or institutions that control large amounts of bitcoin. Whales, as the name suggests, are the largest fish in the bitcoin ocean. There are various whales in the market, such as BTC whale, ETH whale and BCH whale. BTC whale refers to a retail account or institution (single address) with 1000 Bitcoins or more.

At the time of writing, a user holding about 1,000 bitcoins is defined as a little whale. There are even giant whales with 10,000 bitcoins, and now there are 3 addresses with BTC numbers between 100,000 and 1,000,000. 100,000 BTC held at today’s price is approximately equal to $873 million. In December 2018, there were 5 addresses holding 100,000 BTC; as of February 2019, this data will remain unchanged, with only 5 addresses holding 100,000 BTC.

It can be considered that the decentralization of the Bitcoin network has been threatened by these five institutions because they control the high proportion of Bitcoin circulation. This view has aroused curiosity for investigation, monitoring the market activities of retail investors and institutions that have been described as whales, because their actions affect every retail investor in the market, making bitcoin transactions look like gambling.

How to be alert for unknown whales?

Hedge funds or Bitcoin whales may cause a chain reaction in the Bitcoin market. Therefore, you can often see retail investors monitoring market activities, manipulating prices secretly, taking advantage of the trend, and profiting from induced price fluctuations. It is no surprise that the exchange is the largest Bitcoin holder. The current 6.7% of the liquidity (about 9.8 billion US dollars) is held by the exchange wallet. Here are some considerations:

Increased transaction volume: Bitcoin’s transaction volume is almost stable. Once the whale moves, the transaction volume will soar, and either the number of purchases or the number of sales suddenly increases sharply.The price of Bitcoin is inexplicably up and down: due to announcements, news and other reasons, the price of Bitcoin has risen sharply. However, if the reason for its new fluctuations cannot be explained, it may be that crypto whales are affecting the currency price.

Cancel or pop up large orders and bids: When whales actively join the market, the size of Bitcoin bets will increase instantly. At the same time, the sudden cancellation of large orders may indicate that the price of Bitcoin will fluctuate.

List of known Bitcoin whales

Although most bitcoin whales will be anonymous, some are well known, and they hold the highest proportion of bitcoin liquidity.

Satoshi Nakamoto-a pseudonym for the inventor of Bitcoin, who allegedly owns about 1.1 million bitcoins and is currently worth about $6.5 billion.
Winklevoss twins-In 2013, the Winklevoss brothers sued Mark Zuckerberg for stealing their intellectual property, and the Winklevoss brothers took out 11 million US dollars from the 65 million US dollars obtained by winning the lawsuit to buy 1.5 million bitcoins.

Garvin Andresen-Since the birth of the Bitcoin market, he has been a key player in the Bitcoin market. He is currently the main developer of Bitcoin open source code. On one occasion, he received BTC worth $200,000 as his contribution to the development of the Bitcoin network.

Roger Ver-often referred to as Bitcoin Jesus, he was one of the early adopters of Bitcoin, and he is said to have no less than 100,000 Bitcoins.

Barry Silbert-early adopter of Bitcoin, founder of Digital Currency Group. Allegedly, in 2014, he bought 48,000 bitcoins from the bitcoin of the dark web operator confiscated by the US police at a price of 16.8 million US dollars, and put them into today’s bitcoin market. His bitcoin reserve value About $312 million.

Conclusion-decentralization and liquidity

The liquidity level of an asset depends on the stability and convertibility of the asset. Bitcoin’s convertibility is greatly guaranteed, because Bitcoin can be exchanged for other assets within seconds.

Concerning the stability of the Bitcoin market, there is still a conservative view: Although the Bitcoin market has matured a lot in the past few years, it is still in its infancy and vulnerable to price manipulation. Institutions and retail investors with strong purchasing power, such as Bitcoin Whale, can easily control the price of Bitcoin.

Crypto hedge funds have flourished in the unstable environment of the Bitcoin market. In 2014, a whale liquidation of 30,000 bitcoins proved that hedge funds had found a way to continue to manipulate the price of the currency in an obscure way.



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