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Whale trades propel bitcoin to new record as Fed interest decision approaches

Whale trades propel bitcoin to new record as Fed interest decision approaches This illustration shows photograph shows physical banknotes and coin imitations of the Bitcoin cryptocurrency, taken in Istanbul, Türkiye, on Nov. 22, 2024. (AFP Photo)
By Newsroom
Dec 16, 2024 9:48 AM

Bitcoin surged 4% on Monday, reaching an all-time high of $106,569. The rally was fueled by major transactions involving at least 27,000 bitcoins, worth $2.8 billion, by large holders.

According to investing.com data, bitcoin slightly fell back to $105,074 at 6:07 a.m. GMT on Monday.

Major cryptocurrency transactions, often referred to as “whale trades,” were observed over the weekend, involving the transfer of hundreds of millions of dollars in bitcoin from exchanges to private wallets. According to Whale Alert, a popular account on X that tracks large-scale crypto movements, these transactions originated from major platforms such as Bybit and Binance.

Whale trades propel bitcoin to new record as Fed interest decision approaches
In this photo illustration, a phone screen displaying a graphic chart showing an upward trend, with the label ‘$100K’ is seen over another screen showing bitcoin coins and dollars in Ankara, Türkiye on Nov. 22, 2024. (AA Photo)

Fed rally on bitcoin

Such a move points to the limited supply of Bitcoin on public exchanges, which could lead to a higher price for the cryptocurrency just days before the Federal Reserve’s interest rate decision. The futures markets were pricing with a probability of more than 95% on Friday that the Fed would move ahead with a quarter-point cut, according to CME Group data in the FedWatch Tool.

Crypto markets also cheered MicroStrategy’s addition to the Nasdaq 100—the world’s biggest corporate holder of crypto. MicroStrategy, which is largely regarded as a major player, surged over 400% in 2024, with its valuation spike making it eligible for inclusion in the Nasdaq 100.

Whale trades propel bitcoin to new record as Fed interest decision approaches

The stock will be added to the index effective Dec. 23 and could see further gains as exchange-traded funds move to add exposure to the stock.

Last Updated:  Dec 16, 2024 9:48 AM