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Question #589

What does recent whale accumulation of around 46,000 BTC suggest about long term investor confidence?

Category: General
It suggests mining difficulty will fall as whales divert funds away from new hash power investments.
It shows large investors expect price gains and have strong long term confidence in Bitcoin’s potential.
It implies whales plan to sell soon to stabilize prices through massive coordinated institutional sell offs.
It signals small retail traders dominate accumulation, reflecting widespread true individual confidence without meaningful institutional influence.

Why is this the correct answer?

This is correct because the accumulation of 46,000 BTC by large holders shows that they believe Bitcoin’s price will rise over time, even if prices fluctuate in the short term. When whales accumulate, it decreases circulating supply and demonstrates confidence in the asset’s long-term value proposition. Beginners can view such behavior as an indicator that serious investors are backing Bitcoin’s future growth.

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