Bitcoin is showing fresh signs of strength as large holders begin buying again. According to recent data from Santiment, wallets holding between 10 and 10,000 BTC have resumed accumulation while Bitcoin stays close to the $71,000 level. This trend suggests that major investors are becoming more confident again.
Large Bitcoin wallets now control around 68.17% of the total supply. A week earlier, that figure stood at 68.07%. Although the increase looks small, it still matters because it shows that big holders are adding more Bitcoin instead of reducing exposure.
Santiment described this shift as a positive reversal. In simple terms, it means larger investors may believe Bitcoin is entering a better phase after recent market stress. When whales start accumulating, traders often see it as a sign that stronger hands are preparing for a possible recovery.
At the time of reporting, Bitcoin was trading near $71,350. The coin had gained roughly 6% over the past week and more than 7% over the past month. That steady improvement has attracted attention from analysts who are watching both whale activity and retail sentiment closely.
Why Whale Activity Matters
Whale behavior often gives clues about market direction. In many past cycles, Bitcoin has formed local bottoms when smaller wallets sold coins and larger wallets absorbed that supply. This pattern usually shows that patient, long-term holders are stepping in while short-term traders lose confidence.
Santiment explained that this kind of movement is often healthier for the market. Ideally, small wallets should shrink while larger wallets grow. That shift can create a stronger base for future price recovery.
However, the picture is not fully bullish yet. Analysts still say retail behavior remains very important. Bitcoin often reaches a true bottom when smaller investors become fearful and start selling. If retail traders continue buying too aggressively, the market may remain unstable for longer.
Market Sentiment Still Looks Weak
Even though Bitcoin has recovered from recent lows, investor mood remains cautious. The Crypto Fear & Greed Index recently stayed in the Extreme Fear zone with a reading of 16. This shows that many participants still do not trust the current recovery.
That caution comes after a volatile period earlier this month. On March 6, Santiment reported that large Bitcoin holders had already sold a major part of the BTC they accumulated between Feb. 23 and March 3. During that earlier rally, Bitcoin had moved above $70,000 and briefly touched $74,000. After that, profit-taking followed.
Now, the return of Bitcoin whale accumulation suggests those same large players may be entering the market again.
Analysts Still Urge Caution
Not everyone believes the market has fully turned around. On-chain analyst Willy Woo recently said Bitcoin may still be moving through a wider bear-market phase when viewed from a long-term liquidity perspective. That means short-term gains may not be enough to confirm a lasting bottom.
Recent price action has also been influenced by macro and geopolitical conditions. Bitcoin had dropped sharply toward the $63,000 to $66,000 range during rising tensions linked to Iran and broader market fear. At the same time, oil prices climbed and overall risk sentiment weakened.
Since then, markets have improved as fears of a larger conflict have eased. Energy prices cooled, risk assets moved higher, and Bitcoin rebounded. The S&P 500 also gained, while Bitcoin rose around 4% in a single day during the recovery phase.
Institutional Demand Adds Support
Another positive sign comes from institutional flows. US spot Bitcoin ETFs recorded their first five-day inflow streak of 2026, bringing in around $767 million in new capital. That shows bigger investors are still interested in Bitcoin, even during uncertain conditions.
Overall, Bitcoin whale accumulation is giving the market a stronger signal of confidence. Still, analysts want to see more weakness from retail sellers before calling this a clear market bottom. For now, Bitcoin remains in a recovery phase, supported by whale buying, improving sentiment, and stronger institutional inflows.