The BTC Whales & HardForks

in hive-175254 •  10 days ago 


What are BTC whales?

They are a group of accounts or people who occupy such large positions in the Bitcoin market, that their purchase and sale orders can shake the market.

A mysterious group of about 1,600 investors collectively own $ 37.5 billion in bitcoin, about a third of the total available.

This fact that the BTC market is concentrated in this way contradicts the primary objective of the creation of the cryptocurrency: democratize finances through an alternative monetary system not controlled by central banks.

In addition, this concentration of wealth implies that there is a high risk of volatility in the market, since the operations of a small number of people have a great effect on the price. What could produce fictitious prices of BTC since there is a real possibility that these large investors communicate with each other, know each other and study the activity in the market, in order to manipulate it.

ph venezuela cintillo.jpg

The network itself is secure.

Since the network hashrate has increased, this can be interpreted as a sign of the strengthening of the security infrastructure, further reinforcing the attractiveness of bitcoin, especially for long-term investors who may feel comfortable because of the fact that the Network is more secure than ever.

ph venezuela cintillo.jpg

Whales and Forks

What happens during a Fork?

When the Bitcoin Cash chain forked off the main chain, Bitcoin owners became owners of an equivalent amount of Bitcoin Cash. This is because the chains were identical until the fork occurred. If he owned 10 BTC before the division, then he owned 10 BTC and 10 BCH after the division.

When the BTC split, part of the value that was in the network was moved to the branched chain. When Bitcoin Cash forked from the Bitcoin network, the value of Bitcoin went from $ 2800 to $ 2700 (July 23, 2017).

There are extremely skilled investors who have taken advantage of the BTC branches to make masterful plays and win millions. Buying a large amount of Bitcoin, anticipating a division of the chain where you have several new altcoins equivalent to the amount of Bitcoin you own, quickly selling the altcoin for profit and then decreasing your position in Bitcoin because it is overvalued.

ph venezuela cintillo.jpg

Example with Figures:

Suppose Juan owns 1000 BTC.
When Bitcoin fell from $ 2,800 to $ 2,700, Juan's digital assets fell from $ 2,800,000 to $ 2,700,000, a loss of $ 100,000.

However, due to the fork, Juan now has 1000 BCH worth $ 555 per piece. Now Juan can sell his BCH for profit at the moment when the option to sell BCH is available to him in his preferred exchange.

Juan sells 1000 of his BCH with a profit of $ 555,000. A good profit to compensate for the loss of $ 100,000 he suffered due to the decrease in the price of Bitcoin.

ph venezuela cintillo.jpg


Since only a few large players are needed to implement a strategy like the one proposed, it is possible to raise or lower the value of Bitcoin. So when an opportunity like this presents itself (a hardfork), the price of Bitcoin may not reflect the true value of Bitcoin.

When these people decrease their position in Bitcoin to an amount that they feel comfortable during a bear period (and that number may be zero) their collective offers are able to create a sales wall that reduces the price of Bitcoin.

After the big sale of altcoin and Bitcoin, investors capitalize on the low price of Bitcoin from the massive sales wall and buy back the Bitcoin they downloaded earlier.

In addition to the profits that investors get from the sale of all their altcoins, investors will experience capital gains by selling their Bitcoin at an artificially high price and then buying Bitcoin again once the price is lower.


ph venezuela.jpg

Project Hope Venezuela is an initiative created to grow.
You See more about it at:



Please Visit Our Website

Join Our Telegram Channel

Join Our Discord Channel

I invite you to visit Publishx0 a platform where you can publish and earn cryptography.


Opinión sobre Tecnología, Finanzas y Emprendimiento.
Venezuela, Colombia y Latinoamérica
Cripto en Español

Authors get paid when people like you upvote their post.
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
Sort Order:  

That's interesting! It may be a great strategy to do the right thing at the right moment. But, one needs really correct information to adopt such strategy.

Posted via Steemleo

What thing do you do deal with Project Hope?

Many things dear friend. Thanks for you interest.

Need help? Do you want to join us and participate?
You can find me Discord or Telegram and talk.
I'm here to serve you.

Most people are thinking Bitcoin's price top in 2017 was by 19,500 USD, approximately. In reality, every older, holded Bitcoin was approx. 21,000 USD (or 22,000?) worth. Because Bitcoin Cash forked and its price also was 1,500-2,000 USD.

You mean BCH fork favored BTC?
I think almost no one believes in the self-proclaimed Satoshi Nakamoto, Craig Wright.

BCH fork gave me a new coin for free. I had 1 BTC worth 19,500 at the top + 1 BCH, maybe at 2,000 USD in December 2017.

You´re a lucky man.

A very educational post and I think it planted well the possibilities of the big players to play with the market even within blockchain technology.

These things have been going on since BTC was born.
It is visible to everyone, but many preferred not to talk about it.
It's like a sauce stain at the corner of your lips.

@tipu curate


Resteemed already. Upvote on the way :)

You´re so kind @project.hope!

The market is always marked by the decision of those who have power or who have large amounts of $ at stake.
Your publication is very educational and interesting, it would be nice to know what tips or techniques to use for the btc and the other coins, some tips for trading or maybe a mini course. Thanks for sharing.

Posted using Partiko Android

I'm in agreement with you that the current state of the whales is contradictory to decentralized blockchain. It's bad enough that I need the qualifier decentralize in front of blockchain.