Facebook Didn’t Buy Bitcoin, But Crypto Whales Did

 | Apr 30, 2021 12:54AM ET

Facebook (NASDAQ:FB) didn't announce a Bitcoin purchase in its Q1 call, but other big investors have done so.

h3 Key Takeaways/h3
  • Facebook did not report adding Bitcoin to its balance sheet during its quarterly earnings call this week.
  • However, on-chain metrics show that other "whale" investors continue to accumulate BTC at every chance.
  • Bitcoin must close decisively above the $54,400-$55,960 resistance barrier for the uptrend to resume.

The crypto community may be disappointed at the news that Facebook does not own Bitcoin, but whales have gone into a buying spree, purchasing over 60,000 BTC in the past two weeks.

h2 Facebook Rumors Disappoint Investors
/h2

Emotions ran high in the crypto market ahead of Facebook’s Q1 2021 earnings report, as circulated claiming that the social media giant had added Bitcoin to its balance sheet.

Some of the most prominent industry figures took the bait, spreading the news to thousands of followers. On Apr. 27, Atlanta Digital Currency Fund CIO Alistair Milne tweeted, “Rumor: Facebook will announce they hold Bitcoin on their books when they release their quarterly results after trading closes tomorrow.”

When Facebook failed to announce a purchase, Milne argued that he did not start the rumor. He showed that he an email from the UK-based asset management firm Lansdowne Partners, which seemingly confirmed rumors of Facebook’s Bitcoin purchase.

Ultimately, Facebook did not mention Bitcoin or any other cryptocurrency on its earnings call despite the mounting speculation.

It went on to report a 48% increase in revenue compared to last year. Facebook attributed the spike in revenue to an increase in its ad rates and the number of ads on the site.

h2 Bitcoin Whales Accumulate/h2

Even though Facebook has not shown any interest in Bitcoin yet, other high net worth individuals have gone on a buying spree.

According to the behavior analytics platform Santiment, whales holding 10,000 BTC or more have added over 60,000 coins to their portfolios since the peak of nearly $65,000 on Apr. 14.

Get The News You Want
Read market moving news with a personalized feed of stocks you care about.
Get The App

“Bitcoin whale addresses (holding 10k+ $BTC) continue to get richer and accumulate as prices range, particularly after the all-time high two weeks ago,” Santiment wrote. “Around 90k BTC ($4.92B) has been added in total to these addresses since Apr. 5.”