How do large whale transactions influence Bitcoin price?
Whale transactions—transfers of large Bitcoin amounts—can trigger sharp price moves. When whales deposit BTC to exchanges, it may indicate intent to sell, often causing prices to drop. Conversely, when BTC moves to cold wallets, it’s seen as bullish. Whale behavior also affects market sentiment, especially if multiple large holders act similarly. Traders track whale alerts to anticipate volatility. In short, whales can influence trends both directly through volume and indirectly by shaping investor expectations.