Crypto whales are rotating out of Bitcoin and into XRP and Solana, according to data from market maker Wintermute. The shift comes as the Federal Reserve's actions trigger a selloff in traditional markets, and the whales are quietly building positions in the two altcoins. The move is a notable change in sentiment among the largest holders.
Wintermute data points to rotation
Wintermute's data shows a clear trend: large holders are reducing their Bitcoin exposure while increasing their positions in XRP and Solana. The move is notable because it's happening during a period of market stress, not during a rally. Typically, whales move to safer assets during selloffs, but this time they're moving to riskier ones.
Fed's selloff sets the stage
The Federal Reserve's recent policy moves have sparked a selloff in traditional markets, and crypto has not been immune. But instead of fleeing to safety, whales are using the dip to accumulate altcoins. The rotation suggests they see more upside in XRP and Solana than in Bitcoin right now. It's a bet that these assets will outperform once the market stabilizes.
Quiet accumulation in Solana and XRP
The accumulation is described as quiet, meaning it's not drawing attention. Whales are likely building positions without causing price spikes. This could be a strategic move to avoid slippage and keep the market calm. It also suggests they're confident in the long-term prospects of these assets, even as the broader market faces headwinds.
What to watch
Traders will be watching Wintermute's data in the coming sessions to see if the accumulation continues. If the trend holds, it could signal a broader shift in market sentiment. For now, the data points to a clear preference for XRP and Solana over Bitcoin among the largest holders. The next few weeks will show whether this rotation is a short-term trade or a longer-term repositioning.
