Bitcoin whale wallets rise by 3% as middle-class holdings shrink
The number of Bitcoin (CRYPTO:BTC) wallets containing over 1,000 BTC has increased by nearly 3.5% over the past year, according to data from BitInfoCharts.
During the same period, wallets holding 0.0001 BTC or less surged by 75%, indicating growth at both the high and low ends of the Bitcoin market.
However, the so-called "middle class" of Bitcoin holders, those with one to ten BTC, has seen a slight decline.
Wallets in this category decreased by 0.35%, while those holding between 10 and 100 BTC fell by over 3%.
The only other category to experience a decline was wallets holding more than 10,000 BTC.
The increase in small wallets may reflect new users entering the market or the redistribution of holdings following significant market events, such as Bitcoin’s all-time high or its halving.
While the growth in whale wallets suggests some consolidation of wealth among larger holders, the shrinking middle class raises questions about the broader distribution of Bitcoin ownership.
It's important to note that wallet numbers don’t necessarily correspond to individual users.
Multiple wallets can belong to the same person or organization, and some may represent abandoned accounts.
Nonetheless, the data suggests a trend where mid-sized Bitcoin holders are reducing their holdings.
On a more positive note, the number of wallets valued at $1 million or more has risen by about 25% since the beginning of 2024.
This increase highlights the ongoing accumulation of wealth by larger investors, even as the overall distribution of Bitcoin holdings shows shifts in various categories.
At the time of reporting, the Bitcoin price was $63,273.26.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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