Cryptocurrency

FTX implosion leads to aggressive Bitcoin accumulation for investors

Bitcoin (BTC) has traded as high as $15,682 over the past 7 days following the recent FTX crash, which caused a massive drop in major cryptocurrencies.

However, according to CryptoSlate data analysis, all major categories of Bitcoin investors (whales, crabs, and shrimps) actively accumulated BTC throughout the week, so the flagship digital asset did not deter investors.

Shrimp continues to accumulate BTC

Shrimp refers to individual investors with less than 1 BTC. Since the start of the bear market, this cohort has aggressively added BTC as it increasingly found the asset to be affordable.

A CryptoSlate study found that shrimp balances increased by over 60,000 BTC in July.

Shrimp bitcoin accumulation
Source: Glassnode

Shrimp is highly sensitive to price changes and has begun to actively accumulate digital assets as it is in a price range that BTC finds attractive again.

The shrimp net supply position has been on an upward trend since the beginning of the year and is rising at a steady pace. Data from Glassnode showed a sharp increase in shrimp stocks after the FTX crash, as stocks topped 1 million.

Crab BTC Positions Soar in November

Crab is a retail scale investor with a large capital accumulation or cohort that has accumulated BTC over the years. This cohort typically has good information about their assets despite the size of the assets they hold (typically 1 BTC to 10 BTC).

crab bitcoin supply
Source: Glassnode

Similar to shrimp, on-chain data showed that crabs also aggressively acquired BTC following the FTX crash.

The supply of BTC held by Crabs has reached 2.8 million, with a significant surge in the net supply position during the second week of November. Since September, the position has been mostly stable.

Fish-to-shark supply soars above 6.9M

The next category of investors who bought a lot of Bitcoin after the FTX incident are holders between 10 and 1000 BTC, known as the Fish-to-Shark cohort.

Bitcoin supply from fish to shark
Source: Glassnode

According to on-chain data, the supply of BTC held by this class dropped significantly between May and June. This is because the crypto industry was still reeling from the Terra LUNA crash.

However, since the infection was contained, they have been aggressively accumulating flagship digital assets, hitting an all-time high of over 6.9 million this year.

After being relatively stable since August, the supply net position surged in the second week of November.

BTC whales are buying

Bitcoin whales hold over 1000 BTC. This cohort primarily sells BTC throughout the year, and many of them have had to take risks to get as much liquidity as possible during negative macroeconomic conditions.

bitcoin whale supply
Source: Glassnode

However, like all other BTC class investors, they appear to be bucking the year-long trend and have been taking bitcoin since late October. It does not appear to have been driven by the FTX meltdown compared to other cohorts that saw supply activity spike later.

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