Over the past month, large Bitcoin holders have increased their holdings by a total of 61,568 BTC, amidst growing tensions in the Middle East and ongoing macroeconomic challenges. According to Santiment's recent report, wallets classified as whales and sharks, which contain between 10 and 10,000 BTC, saw a 0.45% increase in their holdings. Additionally, smaller wallets holding under 0.01 BTC added 213 BTC, reflecting a 0.42% rise during the same period.
Despite the turbulence caused by conflicts in the Middle East, including U.S. and Israeli strikes on Iran, Bitcoin exchange outflows have remained steady throughout March, indicating a trend toward accumulation rather than selling among holders. Some analysts suggest that this accumulation by larger wallets could be indicative of a forthcoming price breakout.
On March 19, a notable shift occurred as two Bitcoin whales transferred millions to exchanges, coinciding with fluctuations in Bitcoin prices and energy costs due to the ongoing conflict. Dominick John from Zeus Research noted that while larger holders are quietly accumulating BTC during consolidation, smaller investors are often motivated by fear of missing out on potential gains.
The current investor sentiment is cautious, as evidenced by the Crypto Fear & Greed Index, which recently recorded a score of 13, placing it firmly in the "extreme fear" category.