Whale Awakens After 7 Years; Moves 71,861 BNB Tokens Amid BNB Crossing $1,000, Institutional Accumulation

Binance Coin (BNB)’s impressive price movement continues to attract attention, with big investors appearing to benefit. According to data reported today by market analyst Onchain Lens, BNB managed to cross the $1,000 mark for the first time. This historic milestone for the digital asset comes in the wake of the Federal Reserve’s move to cut interest rate by 25 bps, a decision widely seen as a positive catalyst for risk assets like crypto. On Wednesday, September 17, the central bank decreased its benchmark interest rate by 25 bps, its first cut this year, as policymakers make efforts to bolster a shrinking job market.

This significant price rise enabled a prominent BNB investor to currently hold unrealized profit of $28.8 million, as flagged by the analyst. The whale, recognized as a diamond holder, has been holding his massive 29,440 BNB tokens over the past seven years, currently worth $29.28 million.

Why the Whale Remerges and Connection to BNB Buying

The sudden re-emergence of this long-dormant BNB whale today triggered speculations about market sentiment and long-term investor behaviour. On-chain data tracked by the market analyst shows that the investor’s wallet holds 29,440 BNB tokens, originally bought in 2018 when BNB was trading at $8.63. As per the data, today the whale transferred 71,861 BNB tokens (valued at $1 million) from Binance for the first time in seven years. He then re-deposited 42,421 BNB tokens worth $541,000 to Binance, leaving market observers questioning the motive behind such transfers. The wallet currently holds a huge profit of $28.8 million from its initial investment, propelled by BNB’s steady price growth.

Such market activities are often closely watched because even small transfers from big investors can cause a domino effect in the market. The timing of such movement is unique. Typically, whales don’t transfer assets unless they spot an opportunity or danger. The token movement is not an isolated event, as multiple whales (institutions) recently have been reactivating their wallets to channel their funds to newly created BNB treasuries.

One of the key catalysts of the BNB rally is institutional participation. Multiple companies have joined the rising narrative of corporate BNB treasury strategies, allocating billions of dollars’ worth of BNB into their balance sheet. The trend started with Windtree Therapeutics, a US-based biopharmaceutical company, which pioneered the move after it allocated $700 million into its BNB reserve strategy. In mid-last month, BNB Network Company, the treasury subsidiary of CEA Industries (BNC), bought 200,000 BNB tokens as part of its BNB treasury, making it one of the largest institutional holders of BNB tokens. Also, recently, Liminatus Pharma, a clinical-stage biopharmaceutical company, allocated $500 million into its long-term BNB capital strategy.

BNB Price Overview

Traditionally, whale token transfers tend to trigger fear among retail traders. When a wallet that has been dormant for years suddenly remerges and moves assets, it normally triggers panic that a huge sale could be coming. This can cause selling pressure even if tokens are simply moved to exchanges.

BNB’s value is currently standing at $994.6, up 10.2% and 17.4% over the past week and month, respectively, showing resilience and market growth.