Whales deposit record amount of Bitcoin on Binance

On Binance, the so-called whale inflow ratio has reached a level never measured before. The ratio, which indicates what share of the daily inflow on the platform comes from large players, now stands at 0.65. That is the highest point ever recorded on Binance, while the broader market actually had a quiet week.

Bitcoin is available at OKX and Bybit.

In short:

• The whale inflow ratio on Binance reaches a historic high of 0.65.
• The share of smaller transactions on the platform is declining noticeably.
• Higher whale inflows do not automatically mean more selling pressure.

Record inflows from large players

The ratio is calculated on the basis of a rolling weekly average to make the trend more clearly visible. A rise means that whales account for a larger share of all Bitcoin flowing into Binance, while the share of smaller transactions declines. On-chain analyst Darkfost points to the chart that places this development in historical perspective.

Notably, this record falls in a period when there is little happening on the macroeconomic front. Core inflation in the US has fallen back to 2.5%, in line with expectations, and the producer price index also showed a decline from 4.7% to 4.2% in July. According to the analyst, large players have seized on this relatively favourable climate to move Bitcoin to the platform.

Several explanations possible

There are various conceivable reasons for the increased inflows from whales. One possible explanation is that recent developments surrounding the hardware wallet Coldcard and the closure of certain exchanges have led large parties to choose Binance over other platforms, because of the better liquidity for large transactions. In addition, the decline in the share of smaller transactions can partly be explained by retail investors being less active.

The analyst does warn against hasty conclusions. A high whale inflow ratio does not necessarily mean that selling pressure is increasing. In the past, similar outliers have been visible in both directions at times of profit-taking or capitulation. The Bitcoin price currently stands at $63K, a decline of 1.5% over the past 24 hours. Whether this movement by whales is related to the broader shifts in the crypto market remains unclear for now.