Willy Woo: A Group of Investors Drives Bitcoin Bull Markets – Not Whales
According to Willy Woo, a widely-respected on-chain analyst, a particular investor cohort – “plebs” – is the driving force behind Bitcoin (BTC) bull markets.
Small holders, or entities that own less than one Bitcoin, known in the industry terms as “plebs” continue to stack Bitcoin as they outpace the selling of large entities or whales, says Woo.
“Chart: Weekly net flows to small holders (of less than 1 BTC).It’s retail that [drives] Bitcoin bull markets. When they stop buying, that’s a bear market warning. They haven’t stopped buying.Last 30 days: Whales sold [4,000] BTC, plebs [retail] bought [31,000] BTC.”
Chart: Weekly net flows to small holders (of less than 1 BTC).
It's retail that drive Bitcoin bull markets. When they stop buying, that's a bear market warning. They haven't stopped buying.
Last 30 days: Whales sold 4k BTC, plebs bought 31k BTC
The top on-chain analyst makes a point that whales only influence the short-term price action of Bitcoin, a theory that goes against to the belief of many traders that large entities are the ones driving the market movement.
“Whales only drive the [short-term] market (which is the meme that most fixate on).In the macro timescale, I refer to whales, dolphins, and sharks bootstrap the start of a bull market. Plebs drive the middle and end of the bull market.”
Whales only drive the short term market (which is the meme that most fixate on).
In the macro timescale I refer to whales, dolphins, and sharks bootstrap the start of a bull market. Plebs drive the middle and end of the bull market.
The analyst notes that smaller whales are offsetting the selling pressure coming from the larger whales.
“My data is *all whales* (holders above [1,000 BTC] minus the exchanges who are also ‘whales’ in the raw data).What’s happening is large whales selling, small whales accumulating, netting to near neutral.”
Will's statement is true for whales sized between 1k-10k.
My data is *all whales* (holders above 1k minus the exchanges who are also "whales" in the raw data).
Will Clemente, another heavy-weight on-chain analyst, agrees on Woo’s findings, pointing out that whales who own 1,000 to 10,000 BTC continue to add to their holdings.
“This is using entities, so 1,921 whale entities [hold 4,216,730 BTC].It’s a nice uptick, but keep in mind this has trended down for months. Watching to see if this is perhaps a new change in trend (whales accumulating instead of distributing). Also watching new whales.”
1. Yes 2. This is using entities, so 1,921 whale entities 3. 4,216,730 BTC 4. It's a nice uptick, but keep in mind this has trended down for months. Watching to see if this is perhaps a new change in trend. (whales accumulating instead of distributing) Also watching new whales pic.twitter.com/ykXvVg9pNg
Back in May, Woo stated Bitcoin is in the middle of a bull cycle, arguing the king crypto’s harsh correction from $64,000 to around $30,000 could be healthy for the long-term outlook of the market. He also called that BTC would rally to $157,000 after this “weird pullback” ends.
