Bitcoin Whale Presence On Derivatives Still High, More Volatility Ahead?

On-chain data shows that bitcoin whales are transferring significant amounts to derivative exchanges at the moment, a sign that more volatility could be in the future for cryptocurrencies.

All exchanges with the flow of derivatives in Bitcoin continue to show high value

As explained by an analyst at CryptoQuant MailBTC whale activity on derivatives exchanges remains high.

The relevant indicator here is ‘All exchanges Derivatives exchange flow,” which measures the total amount of bitcoin that moves from spot exchange wallets to derivatives.

When the value of this metric rises, it means that whales are currently transferring a large number of currencies to derivative exchanges at the moment.

Such a trend usually occurs around cryptocurrency lows as whales look to get long positions.

Related reading | Bitcoin recovery slows as whale flows continue to rise

On the other hand, low index values ​​indicate that whales are not transferring much currency into derivatives at the moment. This type of trend has historically led to currency value peaks.

Now, here’s a chart showing the trend in Bitcoin, all exchanges flowing into derivatives over the past two years:

All bitcoin exchanges to derivatives

Looks like the value of the metric has been quite high recently | Source: CryptoQuant

As you can see in the above graph, the flow of bitcoin derivatives has increased recently, which indicates that the activity of whales is very high at the moment.

In fact, the current value of the index is actually the highest ever in cryptocurrency history, indicating an all-time high of whales on derivatives right now.

Related reading | Bitcoin may have bottomed according to these indicators, is BTC targeting $23,000?

Historically, the price of the cryptocurrency has seen significant fluctuations as the value of the metric goes up.

Based on this trend, Quantum believes that the value of the coin will continue to experience more fluctuations in the near future.

The analyst also points out that there must be a decrease in the flow of all exchanges to derivatives in order to volatility to die.

BTC price

At the time of writing this report, Bitcoin price It is floating around $21.1K, up 4% in the past seven days. Over the past month, the cryptocurrency has lost 27% of its value.

The chart below shows the currency price trend over the past five days.

Bitcoin price chart

The value of the crypto seems to have surged up over the last couple of days | Source: BTCUSD on TradingView

After hitting below $18,000 a week ago, bitcoin has been trying to recover. So far, the cryptocurrency has managed to cross $21,000 again, but it is not yet clear if this recovery will continue.

Featured image from, charts from,

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