Crypto Investors Remain Unfazed by Inactive Bitcoin Whale Transactions While Taking Profits from XRP, DOGE, and SOL
As dormant Bitcoin whales move assets, investors are capitalizing on profits from major cryptocurrencies amidst a season of low liquidity.
Key Insights:
- Bitcoin achieved a record weekly closure around $110,000, despite facing challenges like stalled whale wallets and limited holiday liquidity.
- Major cryptocurrencies saw profit-taking, particularly Solana and Dogecoin, which experienced notable drops, while Ether and XRP remained stable.
- Analysts propose that Bitcoin may top its previous high this July, spurred by both institutional interest and ETF inflows.
Bitcoin BTC reached its highest weekly closing price ever at roughly $110,000 on Sunday, overcoming a week filled with hurdles, such as $8 billion in Bitcoin movement from inactive whale wallets, tariff uncertainties, and thin market trading.
As of Tuesday, Bitcoin’s value remained near $108,000 following a slight sell-off on Monday night. Profit-taking was evident across the major crypto assets: Solana (SOL) plummeted by 2.3% to $149, and Dogecoin (DOGE) fell by 4.1%, leading declines. Meanwhile, Ether (ETH) was steady at around $2,530, and XRP hovered at $2.26.
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In broader market conditions, Asian stocks fluctuated but steered clear of a selloff after President Donald Trump indicated a willingness to rekindle trade discussions, delaying new tariffs at least until August 1. Despite Korea and Japan encountering new tariffs, the MSCI Asia-Pacific index remained stable as risk appetite returned with a weaker yen and a stronger won. Reports of a potential EU agreement also supported the euro.
“Markets are hovering around record highs again,” remarked Augustine Fan, Head of Insights at SignalPlus. Fan added, “Earnings season is about to start this week, and positivity is being fueled by hopes that CEOs will guide optimistically, especially after being caught off-guard last quarter by abrupt tariff news.”
The crypto market is closely tracking equities, with the BTC-SPX correlation near its local peaks. Fan warned that unless volatility escalates, a “hot but quiet summer” is expected, where unexpected breakouts could still occur.
Moreover, at least one trader is predicting that Bitcoin’s record high of $112,000 may be breached in the near future.
“Bitcoin is set to break its former high again this July, with potential upward movement towards $120,000 by the end of the month. Continuous institutional demand and steady ETF inflows help bolster bullish momentum,” noted Ryan Lee, Chief Analyst at Bitget Research, in a note to CoinDesk. He also mentioned, “Ethereum is gathering momentum as well, propelled by ongoing whale accumulation and renewed enthusiasm from the crypto-friendly U.S. administration. ETH may approach $3,000 by July’s close, although market volatility is a significant concern,” Lee added, suggesting that an expected Fed interest rate reduction in September could act as an additional catalyst.
Read more: Bitcoin Traders Chase $130K Bets in Anticipation of Renewed Bullish Volatility
