- 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.
Also read: ApeCoin joins hands with Arbitrum to build its dedicated blockchain ApeChain
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
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
VanEck sees Bitcoin reaching $61 trillion market cap, Marathon buys $100 million BTC
Bitcoin declined by 1% on Thursday following asset manager VanEck's forecast that the top digital asset will reach a $61 trillion market capitalization by 2050.
Ethereum Classic price sets for a rally following retest of key support
ETC edges higher by 2.3% and trades around $22.60 at the time of writing on Friday after testing a key support area the day before. On-chain data showing increased account growth suggests a bullish move ahead. Ethereum Classic price faced rejection by the daily resistance level of $25.13 earlier this week.
Celebrity meme coins lose their shine
Celebrity meme coins report by Jupiter Slorg on Thursday shows that these tokens have been in deep waters since early July after experiencing heavy growth in June. In a recent analysis, Jupiter Slorg revealed that celebrity meme coins are down by an average of 94% from their all-time highs.
Ripple gains 5%, Mark Cuban says Kamala Harris’ nomination could affect SEC lawsuit
Ripple (XRP) made a comeback above key psychological resistance early on Wednesday. Crypto traders are optimistic after the Ethereum Exchange Traded Fund (ETF) launch. Entrepreneur and investor Mark Cuban recently shared his comments on how Kamala Harris’ nomination to the Presidential elections could influence crypto regulation.
Bitcoin: Will BTC manage to recover from recent market turmoil?
Bitcoin recovers to $67,000 on Friday after finding support around $63,500 a day before. Still, BTC losses over 1.50% on the week as Mt. Gox persists in transferring Bitcoin to exchanges.