Shrimps and whales are grabbing their share of the pie as Bitcoin enters its full accumulation season. Shrimps and whales are grabbing their share of the pie as Bitcoin enters its full accumulation season.

 

Summary

Bitcoin has entered a full accumulation phase, with investors bracing themselves to go all-in.

On-chain data indicators like the Puell Multiple and Market Value to Realized Value are some of the positives for the asset’s bull.

The asset shook off a massive dump by Tesla and trades comfortably over the $20,000 mark.

Although Bitcoin has experienced a modest uptrend, some are arguing for much bigger increases for the most well-known cryptocurrency.

The data on the chain

On-chain data indicates that BTC is firmly in an accumulation period, and bulls are rubbing their hands with pure joy. A potential rally for the asset class is predicted by indicators like the market value to realized value (MVRV) and long-term moving average crossovers.

The primary signal for undervaluation is the Puell Multiple, an indicator that tracks the number of BTC sold by miners in relation to the asset’s fair valuation. In the middle of the month, the Puell Multiple dropped below 0.5, effectively entering the “green zone.” This trend has often been the forerunner for several BTC rallies in the past, including the start of the last bull run in 2020.

Blockware Intelligence commented, “entering the green zone is a good time to average in.” At the same time, Julio Moreno of CryptoQuant confirmed that the indicator has “reached a territory consistent with market bottoms in the past.”

It was earlier reported that miners were capitulating and selling their bitcoins in large numbers to offset production costs. Miners appeared to bear the brunt of the market carnage as prices fell to $18,000.

Whales seized the chance to bolster their positions as prices dropped. However, there are becoming more organizations with less than 1 BTC. According to data from Glassnode, the figure is at all-time highs, with the majority of the buildup occurring in the last 90 days.

surviving a sell-off at Tesla

Tesla's announcement that it had sold up to 75% of its BTC sent chills down the spine of Bitcoin fans. The automaker implied in an earnings report that the sale was made to straighten out its books at the end of Q2.

Bitcoin achieved a 7-day high of $24,196 despite the $900 million liquidation, and the week saw double-digit gains. BTC's market worth is $468 billion, well below its all-time high of nearly $1 trillion, but its market share of 41.6 percent puts it head and shoulders above the competition.

Alongside Bitcoin, several cryptocurrencies also experienced significant rises. As whale activity increased, some of the greatest winners included ETH, SOL, XRP, and ADA.