While the average cost of a transaction in the crypto market is not a fixed rate and varies depending on the crypto used, it is possible to have an estimate of the cost of moving large transactions through the public record in the blockchain.
And the figures when looking at the amount of money that moves in a transfer are nothing alarming. As an example, let's look at the most recent Whale Alert alert, which occurred on July 24, 2019 @ 18:30:03 UTC, when Bitcoin took off at its price heading to the $ 10,000 region.
On this occasion, if we look at this 32490 BTC movement in detail in a Blockchain explorer, we find that the fees implicit for this transfer is only a few cents at the time of making it. Exactly the commissions correspond to the exact figure of only 0.0072 BTC ($ 74.44 USD), an average fee of 202.02 sat / Byte.
As we can see, for the amount transferred in the equivalent to fiat currency and the charge for processing the transfer, the cost is negligible and goes unnoticed for an investor of this magnitude, not counting the benefits that it has behind this operation in the market .
Suppose an institutional investor who executes this movement in OTC operations regularly, at an average of 10 similar transactions, for moving $ 3 billion in Bitcoin for example, which has the highest fees in the market, the disbursement would not reach even the thousand US dollars .
This is the reason why the number of whale transactions in Bitcoin has had an increase of 10.67% @ July 26, 2019, increasing proportionally with the number of active BTC addresses, which already reach the figure of 678900 addresses.
It should be noted that chain transactions and the active addresses of a cryptocurrency have a positive correlation with the price.
Follow the whales.
Because the market capitalization of cryptocurrencies is still relatively small compared to the Forex for example, a large-scale movement is an exchange that would make the market lean to one side of the balance significantly. This lack of liquidity is the reason why institutional investors often buy cryptos from whales through Over The Counter (OTC) operations. Thus the parties negotiate without affecting the market as a whole.
These entities, the whales, control the direction of price and liquidity. For "small fish" like most of us who read this post, we must accept reality and simply learn to follow their example and avoid the anticipation of price movements.
For our definition, in the traditional market we assume that a whale has more than $ 50 billion at risk at least daily. In the crypto market this figure drops from 100 BTC, approximately one million dollars.
The trading algorithm is now so sophisticated that whales can "paint sail charts" with bullish and bearish chart patterns in lower time frames that act as a simple "chum" for small fish to gather so that Whales are devoured at some point during a trade session.
This is how we see money transfers in sessions between unknown wallets and then enter a particular exchange and pump the market either up or down, depending on your interests.
In this last movement it is easy to observe if we follow the movement of the transfer of the 32490 BTC that the same whale moved the funds to create purchase walls with which it managed to manipulate the market towards the rise, passing between its properties (inferring as one entity to this whale) the amount used to manipulate the market. In the following sequence of images, the coordinated internal movement for this market manipulation that triggered the BTC alarms to break the 10k resistance can be verified.
If we follow the trail we can see where the rest of these funds moved, which were segregated in multiple directions to pass silently in the order books of several important exchanges in terms of marketing volume.