Bitcoin prices rose approximately 8% in the two weeks since the Iran conflict erupted on the 28th of last month. The cryptocurrency market has seen increased trading activity since the conflict, with 24-hour trading and leverage cited as attractive features for investors. Cumulative trading volume for WTI perpetual futures listed on the Hyperliquid exchange surged from $339 million on the 28th of last month to $7.3 billion on the 13th of this month.
On-chain data also shows accumulation activity among investors. Santiment noted that wallets holding between 10 and 10,000 bitcoin are increasing their purchases, and as of last week these wallets held 68.17% of total bitcoin supply, up from 68.07% a week earlier. The analysis also points to whale investors—large holders with 10 to 10,000 bitcoin—having significant volatility, and Santiment highlighted the buying and selling patterns between whales and retail investors as a key variable for determining market direction.
If whales continue accumulating while retail holdings decline, bitcoin may be forming a local bottom, the analysis suggested. “The ideal picture is whale holdings increasing while small wallet holdings decrease,” Santiment explained. This would mean coins are moving from weak hands to strong hands. The conflict has also drawn attention to new oil-tracking cryptocurrencies, and whales sold approximately 66% of the bitcoin they had purchased between February 23 and March 3, while gold is not benefiting and has fallen about 3% since the conflict began.
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