CoinNiel
Extreme Whale Demand Signals the Next Bitcoin Rally
The chart shows two key indicators: 1. Accumulator Address Demand – red line 2. Liquidity Inventory Ratio (Month) – blue line Retail investors do not typically withdraw Bitcoin from exchanges. These withdrawals are mainly done by whales (large holders), and their buying pressure is reflected in the Accumulator Address Demand metric. This indicator is currently at an all-time extreme level. It can be described as an extreme value, suggesting that whale FOMO is at a very intense level. As a result, the Liquidity Inventory Ratio (Month) has reached another extreme value of 3.8 when looking only at U.S. exchanges. This indicates that a large amount of Bitcoin has left exchanges for the first time in years, while Accumulator Address Demand remains elevated. A value of 3.8 theoretically implies a Bitcoin supply shock in about four months. Of course, this does not mean a supply shock will actually occur. Rather, it highlights how strong whale buying pressure currently is. This metric also suggests that a further bullish trend could be ahead.