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In a strategic move following a significant price drop, Bitcoin whales have begun aggressively accumulating the cryptocurrency. Following a 15% price correction in late December 2024, institutional investors have snapped up over 34,000 Bitcoin, equating to roughly $3.2 billion, according to Blocktrends' head of research, Cauê Oliveira.

The accumulation phase kicked off after a massive sell-off by wallets holding 1,000 to 10,000 BTC, which dumped 79,000 BTC in the week post-Dec. 21. This sell-off was sparked by Bitcoin briefly touching an all-time high of over $108,000 on Dec. 17, following a U.S. Federal Reserve interest rate cut announcement.

Institutional players have since been buying Bitcoin in smaller, methodical increments as the price slumped below $95,000. As of Jan. 9, Bitcoin trades at around $94,900, reflecting a 2.3% decrease within the day, influenced by uncertain U.S. economic indicators and doubts about forthcoming rate adjustments.

Bitfinex's recent analysis on Jan 6 highlighted a swift reduction in Bitcoin's sell-side liquidity, suggesting that the market might be stabilizing post-correction. This could indicate that the selling pressure might be waning, paving the way for a potential upward trend.

Analysts are optimistic about Bitcoin's future, especially with the anticipated pro-cryptocurrency stance of the incoming U.S. president, Donald Trump.

Predictions suggest that Bitcoin could witness unprecedented growth in 2025, with forecasts ranging from a conservative $150,000 to an optimistic $400,000, driven by broader adoption by governments and national reserves.

Matt Hogan from Fidelity Digital Assets and researchers at Blockware have both highlighted the potential for Bitcoin to become a staple in national and institutional reserves, which could dramatically boost its valuation.

The significant accumulation by Bitcoin whales signals a robust belief in the cryptocurrency's long-term value.

This activity not only underscores increasing institutional confidence but also sets the stage for potential record-breaking rallies in the near future, making Bitcoin an intriguing asset for investors to watch.

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