Blockchain analytics firm LookOnChain has identified significant bitcoin deposits to Binance, suggesting that cryptocurrency whales are liquidating their holdings, leading to a drop in BTC prices.
Since June 27, two wallets have deposited a total of 9,500 BTC to Binance, potentially indicating whale activity worth approximately $550 million. Currently, the value of these deposits stands at $537 million, though it was closer to $575 million when the transfers began last week.
LookOnChain’s analysis revealed a pattern between the deposits from these wallets, tagged as Binance deposit wallets by Arkham Intelligence, and subsequent declines in bitcoin’s price. This correlation suggests that the large sales following these transfers have likely sparked the price drops.
One of the wallets continues to hold over 4,300 bitcoin, valued at nearly $250 million at current prices. Its latest deposit to a Binance address was made two days ago.
The crypto market has experienced turbulence lately due to the movement of Bitcoin associated with Mt. Gox’s repayment to creditors. These repayments, made in both Bitcoin and Bitcoin Cash, have already resulted in liquidations worth hundreds of millions of dollars. The repayment schedule varies based on the custodian, with some creditors potentially waiting up to three months to receive their coins.
