Bitcoin Whales Scoop Up $1.4B Amid Market Dip

Bitcoin whales seized the opportunity presented by a market correction on June 11, accumulating 20,600 BTC worth $1.38 billion as Bitcoin supply on exchanges hit its lowest since December 2021. This significant activity marked the largest whale inflow since February 28.

As Bitcoin dropped from $71,650 on June 7 to around $69,000, whale accumulations ranged between 1,300 and 2,200 BTC daily. The influx surged when Bitcoin’s price fell further, indicating strong whale confidence in a future price rebound. At the same time, Bitcoin reserves on exchanges dropped to 942,000 BTC, signaling investor optimism for mid to long-term gains.

Not just Bitcoin, Ethereum whales are also active, buying over 240,000 ETH worth nearly $840 million recently. Unlike Bitcoin, however, the supply of Ether on exchanges has increased, with 17.98 million ETH currently held.

Stay tuned as both Bitcoin and Ethereum whales navigate these volatile market conditions, potentially shaping the next bullish phase.

Greenpeace Calls Out Wall Street for Bitcoin Mining Emissions

Greenpeace USA has released a report accusing major Wall Street firms like BlackRock and Vanguard of fueling Bitcoin mining’s environmental impact. Titled “Bankrolling Bitcoin Pollution: How Big Finance Supports a New Climate Threat,” the report shifts focus from miners to their financial backers, holding them accountable for the industry’s carbon footprint.

The top five financiers — Trinity Capital, Stone Ridge Holdings, BlackRock, Vanguard, and MassMutual — reportedly contributed over 1.7 million metric tons of CO2 in 2022, equating to the emissions of 335,000 American homes.

Greenpeace criticizes the lack of transparency and disclosure in the Bitcoin mining industry, comparing its tactics to those used by the tobacco and fossil fuel sectors. They call for regulations and taxes to curb the environmental damage, suggesting measures like the proposed Digital Asset Mining Energy tax and a shift from proof-of-work to proof-of-stake consensus.

As the debate intensifies, Greenpeace’s stance underscores the tension between financial gains and environmental responsibility in the crypto space.

Are Bitcoin Layer 2s Really Layer 2s? Why It Matters

Despite a surge in venture capital interest, most Bitcoin “Layer 2” projects are actually sidechains, not true Layer 2s like the Lightning Network. A true Layer 2 should inherit the security of the base chain, while sidechains operate independently. Bai Yu from CKB Ecosystem Fund argues that calling sidechains “Layer 2s” is a misleading marketing tactic.

Sidechains rely on pegging mechanisms and their own security models, which can pose risks. The lack of a clear consensus on what defines a true Layer 2 adds to the confusion. While end-users may prioritize faster transactions, the distinction matters for security and trust. True Layer 2 solutions like Lightning Network are more secure, while the future may see zero-knowledge rollups enhancing Bitcoin’s scalability.

Analyst Predicts $91.5K Bitcoin Despite Fed’s Hawkish Stance

Pseudonymous analyst CryptoCon predicts Bitcoin will surge 25% above its all-time high of $73,679, targeting $91,539 next before reaching a cycle peak of $123,832. This bold forecast comes despite the Federal Reserve’s hawkish tone, maintaining high-interest rates with minimal cuts planned for 2024.

CryptoCon’s “Magic Bands” model suggests Bitcoin will break its current consolidation at $68,315, moving to the next “step” at $91,539. This prediction is supported by Bitcoin’s positive reaction to lower-than-expected inflation data, which saw a rapid $1,500 price spike.

Despite concerns about the Fed’s aggressive stance, other analysts believe the Fed’s expectations might lower, potentially boosting Bitcoin further. CryptoCon remains confident, seeing this as a stepping stone to even higher gains.

Why Bitcoin Isn’t Keeping Up With Nasdaq’s Rally

Despite Nasdaq hitting record highs, Bitcoin has dropped 6% in a week. Key factors include profit-taking by long-term holders and increased selling by miners.

While some blame the Federal Reserve’s signal of a single rate cut for Bitcoin’s slide, the Nasdaq’s gains suggest crypto-specific issues are at play.

Large holders are selling at perceived overvalued levels, with recent activity showing significant BTC transfers to exchanges. Miners are also cashing out, with companies like Marathon Digital selling substantial amounts of Bitcoin.

Additionally, the upcoming distribution of 142,000 BTC from the defunct Mt. Gox exchange could further pressure prices. This combination of profit-taking and increased supply from miners and other sources is hindering Bitcoin’s performance compared to traditional tech stocks.

Sources:

https://cointelegraph.com/news/bitcoin-whales-buy-over-one-billion-bitcoin-amid-price-slump

https://cointelegraph.com/news/wall-street-bitcoin-mining-greenpeace