Large cryptocurrency holders are increasing their balances, signaling a potential market bottom. Bitcoin and Ethereum whales have been particularly active as valuations approach critical levels.
In the late stages of a bear market, large cryptocurrency holders known as 'whales' are amassing significant amounts of Bitcoin (BTC) and Ether (ETH), according to CryptoQuant’s latest Smart Money report. This accumulation is seen as a key indicator that the market may be nearing its bottom.
The report highlights that whale holdings in BTC have increased from 2.87 million coins in December 2025 to about 3.06 million, with this trend accelerating after Bitcoin’s price fell below $60,000 in June of the same year. Ethereum wallets holding between 10,000 and 100,000 ETH have collectively reached a record high of 19.6 million coins, while those with more than 100,000 ETH have added approximately 1.8 million since mid-2025.
For XRP, the average spot order sizes remain in CryptoQuant’s 'big whale' category as the token trades between $1 and $1.20. However, the neutral 90-day taker cumulative volume delta suggests passive absorption rather than aggressive buying by large holders. Realized price data also points to a possible market bottom, with Bitcoin trading above its realized price of $52,900 at $63,935 and Ether below its realized value.
CryptoQuant notes that rising whale balances during price weakness is the clearest sign of smart money activity, historically preceding market bottoms. However, they caution that further downside risks remain. Other researchers have also identified potential bottoming indicators; 10x Research suggests a bear-market bottom could be confirmed with a monthly close above $63,000 for Bitcoin.
These developments are significant as large holders' actions can influence market sentiment and liquidity dynamics. Traders should monitor whale movements closely to gauge the health of the market and potential reversals in price trends. The accumulation pattern by whales indicates that they see value in these assets at current valuations, which could lead to a stronger rebound if broader market conditions improve.
In summary, as large holders continue to accumulate during bearish periods, traders should stay vigilant for signs of a market bottom and potential buy opportunities.
Source: Cointelegraph. Summarized and rewritten by the Vexoda Newsroom. This is market news, not financial advice.