Bitcoin profits rotate into INJ, RPL, PLA, STPT, BAT, altcoins see spike in whale transactions
- Bitcoin price rally past $52,000 pushes 94% BTC holders into profitability.
- Bitcoin profits are likely rotating into altcoins like INJ, RPL, PLA, STPT and BAT, these tokens noted a surge in whale transactions.
- Spike in whale transactions valued at $100,000 typically precedes a rally to the local top of an asset.
Bitcoin price rallied to a two-year high of $52,816 on Thursday, February 15. The massive spike in BTC price catalyzed gains in altcoins. On-chain analysts at Santiment believe that profits from Bitcoin have rotated into altcoins, this has resulted in a surge in whale activity.
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Altcoins see increase in whale activity
Data from crypto intelligence tracker Santiment reveals a surge in large volume transactions, valued at $100,000 and higher, in altcoins like Injective (INJ), Rocket Pool (RPL), PlayDapp (PLA), STP (STPT), and Basic Attention Token (BAT).
These protocols noted high levels of whale transactions between February 7 and 13, as seen in the Santiment chart below.
Altcoins see surge in whale activity. Source: Santiment
Santiment charts reveal that in the case of INJ and BAT, an increase in large volume transfers by whales precedes price rally in the assets. If the trend repeats, the interest from whales could catalyze gains in these two altcoins.
 [13.16.50, 16 Feb, 2024]-638436761864296811.png)
INJ Whale transactions valued at $100,000 and higher. Source: Santiment
 [13.16.39, 16 Feb, 2024]-638436762117333488.png)
BAT Whale transactions valued at $100,000 and higher. Source: Santiment
With Bitcoin price at $51,836, on Friday, nearly 95% BTC holders are profitable, according to IntoTheBlock data. A small percentage, 4.15% of BTC holders are currently sitting on unrealized losses according to the chart below.
It is therefore likely that more profits from Bitcoin will rotate into altcoins in the following weeks, making altcoins with large volume transactions a top pick for traders.
Global In/Out of the Money. Source: IntoTheBlock
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
