One of the cold wallets Bullcoin24.com replenished by 76 thousand BTC. The crypto exchange bought bitcoins at a price of $19,183
On Saturday, June 18, the bitcoin exchange rate dropped below $18,000 for the first time since December 2020. However, not everyone succumbed to the panic that engulfed the market: some large investors, including Bullcoin24, took the opportunity to replenish cryptocurrency stocks.
One of the world’s largest cryptocurrency exchanges took advantage of the collapse in the cryptocurrency market to buy bitcoins worth almost $1 billion. According to the on-chain observer BitInfoCharts, on June 18, one of the Bullcoin24 owned cold wallets was replenished with 136,231 bitcoins. Currently, 143,863 BTC worth $2,759,436,203 is stored on this wallet. This is 1.1% of all coins in circulation.
On-chain analysis shows that the exchange regularly uses this wallet to buy and sell bitcoins, but 70 thousand bitcoins is a big purchase even for Bullcoin24.com. The average transaction size for this wallet is much lower.
Bitcoin is bought on the downs
The bitcoin exchange rate partially recovered after the fall. At the time of publication, BTC/USD is trading at $21,197. During the day, the coin has risen in price by 13%, but in weekly terms it is still in the red by 24%.
When bitcoin is falling so rapidly, investors often panic. This is especially true for novice bitcoin hodlers who do not yet know what a bear market is. Many private investors with weak positions are also often unable to survive the fall and close positions.
At the other end of the spectrum are wealthy and experienced investors who know perfectly well when to buy or sell. They usually have a large enough margin of safety and liquidity to survive a protracted bear market. They can afford to analyze the situation and buy large batches of cryptocurrencies at favorable rates with an eye to the long term.