Not many are aware of how whales work in the cryptocurrency world. To throw some light on what a Bitcoin whale is let me first begin by explaining it in the simplest terms.
An individual or group of individuals that hold a large volume of Bitcoin is referred to as a Bitcoin whale. These whales have large holdings of Bitcoins to such an extent that when they sell or buy, the impact on the crypto market is to a significant degree. But this does not at all mean you need to stop investing in Bitcoin or any crypto. You just need to keep a watch on these Bitcoin whales and see what moves they make next.
If you are wondering how big a holding does a Bitcoin whale have? Well, let me answer this way. Satoshi Nakamoto is considered the biggest Bitcoin whale with a Bitcoin holding of around 1 million Bitcoins. Yes. the biggest whale is the founder of Bitcoin. 1 million Bitcoins is huge!
Transactions done by Bitcoin whales even affect price volatility and liquidity. The impact that these whales have on the market is the reason that it becomes important to track them regularly.
Let us see how we can track Bitcoin whale wallets.
How To Track Bitcoin Whale Wallets?
Tracking Bitcoin whale transactions requires whale watching. We will see how whale watching is carried out further in this article. To be able to track a whale's Bitcoin wallet, we need access to certain requirements. Blockchain is the answer to this. The transparency that a decentralized Blockchain provides is of keen importance in the crypto ecosystem. It is because of this that a Bitcoin whale wallet can be monitored.
To track a Bitcoin whale wallet, you can make use of a tool. There are many Bitcoin whale tracking tools available on the internet that you can use. Such tools provide the transaction records of any of the Bitcoin wallet addresses that you want to see and they even provide details about Bitcoin mining.
The largest transaction details of the day can also be seen quickly through most whale-watching tools. Because of their large transaction sizes, Bitcoin whale transactions can be easily spotted, allowing anyone to keep track of them.
Another way to track a whale wallet is to keep a track of social media accounts of tracking tools. Immediate news is posted on social media platforms by bots when some big-time transaction takes place.
So, what do you need to look for while tracking a Bitcoin whale wallet? You need to keep a close watch on any of the below transactions:
- Transactions from one wallet to another. Overall, such transactions are not able to draw that much attention from the public. Unless a full-time whale watcher has seen it and made it public.
- Transactions from wallet to an exchange. When you see something like this, there are chances that the whale is going to sell the Bitcoins using the exchange. So this for sure is a piece of news.
- Transactions from exchange to the wallet. When a whale wallet transfers Bitcoins from the exchange to the wallet, it is understood that Bitcoins are not going to be sold anytime soon. This also indicates a temporary increase in prices due to less Bitcoin in the market.
To conclude, let us make it clear that Bitcoin or any other cryptocurrency are worth investing in if you know how the cryptocurrency market works. Crypto whales occupy a large portion of the ocean which is the reason the small fish need to watch when the crypto whale is asleep, swimming deep down in the ocean or swimming back to the surface for some air. Because the water is sure to splash on them when they are in the same zones.
Whale watching is the best way to track Bitcoin whale moves.
