Mega-rich Bitcoin whales are disappearing as an immense distribution phase unfolds, says on-chain analyst Willy Woo
Popular on-chain analyst Willy Woo says the biggest Bitcoin whales are disappearing as a massive distribution phase is underway.
In a new interview with crypto analyst Tone Vays, Woo says humpback whales, or units holding 10,000 Bitcoin or more, are at risk of extreme extinction as they have been distributing their large BTC holdings since 2012.
“The mega-rich [are] Disappear from the Bitcoin blockchain. This is like a story from an immense distribution of coins to an even distribution of which is exactly what you want on a monetary network. The guys in the middle are still in the middle. But there’s been a general downward divestment since 2017, which is very healthy. The little boys are coming up. “
Although the ongoing sales by the mega-rich BTC holders might sound bearish to some, Woo explains why the distribution is actually good for BTC’s long-term health.
“The fact that humpback whales are disembarking over time is not a good sign. It’s hell, yeah a good sign … you want them to redistribute for the sake of decentralization. If you look up, down, up, and locally, you can spot whales as they buy or sell. But if you’re interested in seeing Bitcoin climb from 763 micropennies to $ 42,000 over 12 years, you are interested in seeing whales reducing their populations and the masses they hold.
Don’t get involved in the short-term game. Look at the bigger picture: will your bitcoins be worth $ 500,000, $ 1 million, or $ 10 million in the next 10 years? “
Woo says there is an emerging breed of smaller bitcoin whales increasing their market share, which he believes is a key part of the current boom cycle.
“The only difference we have right now is the rise of the dolphin sharks – over 100 bitcoins. This is the rise of wealthy family offices and hedge funds. I would say hedge funds. The majority of this is held by a lot of investors … We have a lot of high net worth companies buying the dip and that is reflected in the dolphin numbers.
Overall, we get a very clear picture of the fact that the distribution of wealth within this network is moving incredibly well in the direction of even distribution and very decentralized ownership. “
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