ven 11 Oct 2024 ▪
4
min reading ▪ by
Evans S.
The crypto market is going through a turbulent period. Bitcoin is teetering below $61,000, causing panic among individual investors. However, far from being intimidated, giants like BlackRock and Metaplanet are showing themselves to be opportunists. Taking advantage of this decline, they are strengthening their positions and once again emphasizing their confidence in the future of crypto. But why are these financial titans rushing into Bitcoin while others are turning away from it?
Despite the current fall, BlackRock is working hard to increase its Bitcoin holdings. Over the last fortnight, the world’s largest asset manager has acquired an additional 12,272 BTC, bringing its total reserve to nearly 369,822 BTC, a value of around $22.4 billion. It thus catapults the United States to the top.
This acquisition comes after a notable lull, between the end of August and mid-September, a period during which BlackRock had not made any new purchases, preferring to observe market fluctuations.
However, as of September 24, BlackRock is back. This time, the purchases intensify with each drop in Bitcoin. According to analysts, this relentlessness indicates a strong conviction in the potential of crypto as an alternative to inflation and the depreciation of fiat currencies, particularly the US dollar.
BlackRock doesn’t just buy; she now openly advises the acquisition of Bitcoin, emphasizing its role as a safe haven in an unstable economic context.
For its part, Metaplanet, the investment fund of Jaan Tallinn, co-founder of Skype, has also positioned itself strategically.
The firm recently acquired 108.99 BTC for a total of 1 billion yen, bringing its holdings to 748.50 BTC. For Metaplanet, this acquisition is a new step in its long-term investment strategy, taking advantage of bear cycles to accumulate more Bitcoin.
Whale panic selling heightens volatility
As BlackRock and Metaplanet take a “buy the dip” approach, some crypto whales are panicking.
Bitcoin’s recent declines have caused massive sell-offs, highlighting increased nervousness among institutional and retail investors.
A striking example: a whale, having accumulated more than 11,000 BTC since June, liquidated 800 BTC following a sudden drop, generating a significant loss of nearly $26 million.
This sale reflects a trend among the largest Bitcoin holders who, despite their influence on the market, do not escape emotional movements.
The panicked movements of these whales reinforce market instability, leading in their wake to long liquidations of unprecedented scale.
In just 24 hours, more than $53 million was liquidated, reminding small investors that the crypto market remains extremely volatile.
Yet BlackRock and Metaplanet view this same environment of volatility as an opportunity to assert their dominance. Their strategies differ from those of ordinary whales: rather than giving in to panic, these giants strategically buy at price levels perceived as undervalued. However, an imminent devastating shock threatens the market.
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Evans S.
Fascinated by bitcoin since 2017, Evariste has continued to research the subject. If his first interest was in trading, he is now actively trying to understand all the advances centered on cryptocurrencies. As an editor, he aspires to continually deliver high-quality work that reflects the state of the industry as a whole.
