There are four main ways to monitor Bitcoin (BTC) and other cryptocurrency whale activity, which includes tracking known whale addresses, order books, sudden changes in market capitalization, and transactions on crypto exchanges. So it’s possible for small traders to watch whale activity.
Monitoring Bitcoin whales in real time allows traders to trade where they can profit
Whales are often blamed for sudden price fluctuations in the crypto and traditional markets. Given their ability to drive market prices, it also becomes crucial for general Bitcoin (BTC) traders to understand the finer details of being a whale and its far-reaching impact on trading. Wallet addresses containing huge amounts of BTC are called Bitcoin whales. Emptying or transferring this amount of BTC from one wallet to another also negatively impacts prices, causing losses for small traders. So the bottom line is that tracking Bitcoin whales in real time allows small traders to trade where they can make a profit in a volatile market.
🚨 🚨 🚨 🚨 🚨 🚨 🚨 3,463 #BTC (73,208,868 USD) transferred from #Coinbase to unknown wallethttps://t.co/fD08jpYD4P
— Whale Alert (@whale_alert) July 16, 2022
Despite Bitcoin’s global and decentralized nature, tracking and tracking whales is nothing more than accessing trading data from cryptocurrency exchanges and services. There are four main ways to monitor whales activity: Monitoring known whale addresses, order books, spikes in market value, and transactions on crypto exchanges. Tracking known whales gives smaller investors a head start, as the likelihood of a whale encountering trading activity increases dramatically. Also, tracking market changes via order books and transactions on crypto exchanges indicates the arrival of whale trades, which can be used as leverage to profit during volatility.
Whale wallets hibernate
The crypto community uses free services that inform investors about successful whale trading, often with information about the wallets and amount of the sender and receiver. Twitter account @whale_alert, one of the most popular services for automatically tracking whale trades, gives alerts about large trades.
As we reported on cryptokoin.com, on-chain data shows that Bitcoin whales are reluctant to act at current prices. BlockTrends analyst Caue Oliveira supported the above finding, highlighting a “hibernation” dominating whale wallets.
Corporate movements, commonly referred to as whale activity, can be tracked in both BTC and USD based on trading volume moving in a short period of time.
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