Large Investors Accumulate Bitcoin at Fastest Pace in History

At the time of writing, Bitcoin is trading at $90,460, showing a 2.41% drop over the last 24 hours. Large-scale investors shift their strategy from selling to buying. Market data reveals significant accumulation activity coinciding with substantial realized losses, suggesting a potential reversal in market sentiment.

Bitcoin price chart, Source: CoinMarketCap

The recent price drop to $80,000 triggered aggressive buying from large-scale investors, also known as whale wallets. Analysis shows these large holders are absorbing assets at levels not seen in previous market cycles. This behavior contrasts sharply with the distribution patterns observed earlier in the year.

Whale Accumulation Reaches Critical Threshold

Glassnode's accumulation trend score for Bitcoin approaches 1, signaling intense buying pressure from major investors. This metric tracks whether large holders are net buyers or sellers. Values near 1 indicate strong accumulation, while readings close to 0 suggest a more even distribution.

The current spike in the trend score represents a dramatic shift across nearly all investor cohorts. A similar pattern emerged in July, preceding Bitcoin's rally to its previous peak of $124,500 in August from levels below $100,000 in June.

Bitcoin accumulation trend score. Source: Glassnode

Data shows renewed activity among entities holding between 10 and 1,000 BTC. These small to mid-sized investors have been buying aggressively throughout recent weeks. Their participation adds depth to the broader accumulation trend.

Whales and sharks currently absorb approximately 240% of Bitcoin's yearly issuance. This absorption rate indicates demand far outpaces new supply entering the market. Exchange balances continue declining at unprecedented rates.

The yearly absorption rate by exchanges has dropped below -130%. Persistent outflows demonstrate a clear preference for self-custody among investors. Users are moving assets off platforms and into private wallets for long-term storage.

Larger holders controlling 100 BTC or more are acquiring nearly 1.5 times the annual issuance rate. This marks the fastest accumulation pace among sharks and whales in the history of Bitcoin. The trend reflects structural changes in the market as institutional adoption accelerates.

Traditional finance institutions are increasing their Bitcoin exposure. Treasury companies have emerged as significant buyers, adding substantial positions to corporate balance sheets. Exchange-traded fund demand continues growing, providing another avenue for institutional participation.

Realized Losses Hit Multi-Year High

Bitcoin's recent drawdown generated the largest spike in realized losses since the FTX collapse in late 2022. Short-term holders realized $3 billion in losses on November 22. Long-term holders recorded $1.78 billion in losses during the same period.

Total realized losses across all holder categories reached $5.78 billion following Bitcoin's drop to $80,000 on November 21. The data indicates that recent buyers face the most significant pressure from current market conditions.

Bitcoin realized losses, Source: Glassnode

Short-term traders account for the majority of realized losses. Long-term holder losses remain relatively contained by comparison. This distribution shows recent entrants are bearing the brunt of the downturn.

Exchange-traded funds contributed approximately 3% of recent selling pressure. Their minimal impact suggests the broader market movement stems from other sources. Individual investors and smaller entities appear responsible for most of the distribution.