Who are cryptowhales and how to follow them?

Cryptocurrency whales are large holders of specific coins. The large volume for each coin varies, depending on the capitalization. For example, a Bitcoin whale would be an investor with at least 100 BTC in their wallet – equivalent to approximately $68 million at the time of writing. For newly created coins, whales might start from $1,000. 

Whether it's BTC or other coins, whales can influence the price of an asset with their actions. In 2024, whales are not reckless enough to sell large quantities of coins (equivalent to tens or hundreds of millions of dollars) through exchanges. For this purpose, there is OTC – over-the-counter exchange, which allows whales to buy and sell coins without affecting the average market price of the asset. 

However, the beauty of public blockchains is that anyone can view any information. If a whale's wallet is known to the public, even if they sell coins through OTC – it will become known, as the coins will not be found in their wallet. Now imagine: a small Bitcoin whale (1,000 BTC – a small amount by market standards) has been accumulating bitcoins for several years, and at one point, they were all sold. Since this is a whale with small volumes, the market may not react to the sale. But if it is a whale with 100,000 BTC in their wallet, which they sell – this could trigger sell-offs in the market. 

Ordinary market participants will rush to sell their BTC, because if such a large whale is selling bitcoins, something is wrong. The logic is simple: owners of such sums have access to various insights that are not available to ordinary people, so they buy or sell assets before a significant price movement. And often, people turn out to be right.  

How to Find Cryptocurrency Whales? 

Finding whales can be quite easy: on-chain analysis comes to the rescue, showing all possible information about the blockchain. All coins on the market that anyone can buy and sell function on a public blockchain. This is precisely why anyone can see who holds the coins, who buys them, the quantity, and more. 

The best service that provides tools for on-chain analysis is Arbitragescanner. The platform is specifically designed to help its users earn. Arbitragescanner will help you find whales using the following tools: 

• Wallet Search by Filters. Want to track a token but don't have available wallets to monitor its movements? Use the advanced search: simply specify the token, blockchain, interaction period (up to 7 days), and many other filters that will help you quickly and efficiently find the wallets you need. Here you can also specify the number of tokens a wallet should hold, thus the algorithm will find a cryptocurrency whale for you; 

• Ready-made Selections from Arbitragescanner. If you don't have the time or experience to search for wallets yourself, the service has already created selections of wallets, including those of investment funds, celebrities, market makers, and large holders – there are plenty of cryptocurrency whales among them; 

• AI Wallet Search. A unique tool you won't find anywhere else. Based on an existing address, the artificial intelligence will select other similar wallets for you. For example, using the filter search, you managed to find a couple of whale addresses. Insert them into the AI search and get more wallets that are maximally similar to yours. Maximum similarity is achieved thanks to 274 criteria that the AI uses in the search. 

In essence, Arbitragescanner has all the tools that will inevitably help you find cryptocurrency whales. 

Should You Track Cryptocurrency Whales?

If you are a crypto investor, then yes, definitely. Here's what you get by tracking the actions of major market players: 

• The ability to copy trades from experienced investors and traders. In fact, you will be engaged in copy trading, which is now available on most major exchanges. Only instead of painted statistics from unknown traders, you will rely on blockchain data that cannot be faked. If a wallet truly has a high percentage of successful trades, it will only indicate that the trades can be copied; 

• By following Smart Money (wallets with large turnover and positive Winrate on trades), you can learn to understand the market. It is clear that in most cases, these wallets act based on insider information. However, if we take BTC, for example, it is difficult for whales to act on insights – they rely only on their knowledge of the market; 

• The ability to invest in projects chosen by major players. You can also find wallets that bought a new token through Arbitragescanner. Discovering a cryptocurrency whale with a new token on their address, you can confidently purchase it, relying on the opinion of an experienced investor; 

• If you have already created your own crypto portfolio without resorting to on-chain analysis, tracking cryptocurrency whales will help you diversify it. For example, your portfolio consists of ETH, SOL, MAGA, UNI, and AAVE. Keeping the same coins in your wallet for more than six months usually leads to a decrease in profit, as growth may stop at some point and a downtrend may begin. Whales understand this too, so at some point, they replace one coin with another – you can do the same. 

How to Earn by Tracking Cryptocurrency Whales

Understanding how to earn by tracking cryptocurrency whales is best done through real cases provided by Arbitragescanner users. Here are a few of them: 

• A client, using mass wallet analysis, studied the behavior of large whales accumulating the JASMY token after important news about the technology was released. By analyzing withdrawals from Coinbase and Binance exchanges, he noticed the strengthening of positions by large holders, which became a signal to buy. The client purchased 728,000 JASMY for $15,000 and sold half at $0.0278, then the second part at $0.0313, fully closing the position. As a result, his profit amounted to $7,000.

• This case is more related to smart wallets. The user utilized the service for tracking smart wallets and noticed large purchases of SPURDO by experienced traders, including wallet 0xab27 with a success rate of 46.37%. After analyzing the activity of other insiders, he also decided to purchase SPURDO for $16,000 at a price of $0.01605-0.01613. Thanks to their purchases, the token price increased by more than 50% within a few hours, allowing the client to secure a profit of $10,482.

• After the listing of ZRO on top exchanges on June 20 and its subsequent decline, the client decided to track wallets buying this altcoin. He noticed that the market maker GSR withdrew ZRO worth $7.7 million on the Arbitrum network and transferred $3.4 million to Binance. Following these actions, the client bought ZRO for $30,000 and earned more than $14,000, increasing his deposit by 48%.

Conclusion

Tracking the actions of cryptocurrency whales and smart wallets is a powerful strategy for crypto investors, allowing them to better understand market trends and make more informed decisions. Using on-chain analysis services like Arbitragescanner, you can effectively track major players, copy their successful trades, and find promising investments at early stages. Cases show how attention to whale actions can bring significant profits. And most importantly – tracking cryptocurrency whales can be done by both crypto industry professionals and complete beginners without sufficient experience and knowledge.