Bitcoin (BTC) Price Drops as Whales and Sharks Dump Their Holdings

Bitcoin price experienced a major market decline as large investors sold large portions of their Bitcoin holdings.

Large-scale selloffs by so-called “whales” and “sharks” have contributed to Bitcoin price drops and might indicate further bearish market conditions, according to market analysis.

Investors are now wondering what will happen next with BTC price and what are the market implications of this big-scale selling activity.

Whales And Sharks Liquidate A Huge Amount Of BTC

Data from Santiment shows that both whales and sharks liquidated a huge amount of their crypto assets in recent times.

Whales, who hold between 100-1000 BTC, sold over 50000 BTC in the last week, which is valued at $4.07 Billion at the current rate.

This sell-off is huge, especially considering that whales hold a majority of Bitcoin with approximately 22.95% of the circulating coins.

Moreover, the shark category, which includes Bitcoin holders with assets between 10 and 100 BTC, also reduced their Bitcoin supply. Shark wallets sold a total of 7,062 BTC, valued at $567 Million throughout the period.

Therefore, the total value of Bitcoin sold by these major Bitcoin holders over one week reached more than $4.56 Billion.

This selling pressure contributed to Bitcoin price drops to $76,000 during this period.

The crypto behemoths are selling their coins in huge quantities, which keeps the crypto’s downward price trend going.

Bitcoin Price Declines And Bearish Momentum

The cryptocurrency price dropped by 14.7% during the last 30 days, while the market performance reports a 7.3% dip in the last seven days and a 1.6% decline in the 24-hour.

The price momentum remains bearish, as shown by performance data over the past month.

The combination of falling prices and the large-scale whale and shark selling might indicate that investors are losing their optimism.

Bitcoin has historically suffered from market volatility, but recent long-term value decreases have caused increased apprehension among the trading and investment communities.

This large-scale selling together with diminished buying signals that market forces are pushing prices lower.

Bitcoin Large Holder Netflows And Activity Decrease

Meanwhile, the selloffs by whales and sharks are accompanied by substantial network activity variances that IntoTheBlock data shows.

The Bitcoin network experienced 3.58% less activity over seven days, which indicates a decrease in trading behaviors among Bitcoin users.

An examination of the Bitcoin ecosystem reveals reduced user activities, with the seven-day Active Addresses Change dropping by 6.68%.

A notable shift occurred in the movement of cryptocurrency assets between large holders.

The netflow measurements of large wallets experienced a substantial increase of 1,213.40% during the last week, possibly representing brief whale-driven accumulation activities.

However, the long-term 30-day and 90-day data sets present an opposite perspective.

The 30-day netflow decreased by 3,814.02%, and the 90-day netflow diminished by 1,172.76%, indicating Bitcoin departure from large wallets over an extended period. This prolonged Bitcoin outflow from large wallets explains the Bitcoin price decline.

Bitcoin Price And Demand Appears Stagnant

According to CryptoQuant CEO Ki Young Ju, Bitcoin demand appears flat and does not justify classifying the market as bearish.

A chart shared by Ki Young Ju displays how apparent demand rises and falls between positive and negative levels.

Bitcoin price may transform at some point in the future, but current stagnation prevents definitive bear market predictions according to Ju.

Nonetheless, the current market trend lacks sufficient stability to validate an enduring negative demand trajectory.