Bitcoin's price experienced a sharp decline due to significant sell-offs conducted by major holders. Investors are concerned about future price dynamics.
Massive Sell-offs by Whales and Sharks
Data from Santiment indicates that Bitcoin holders classified as 'whales' and 'sharks' conducted major asset liquidations recently. Whales holding between 100-1000 BTC sold over 50,000 BTC last week, equivalent to $4.07 billion at current rates. This is significant as whales own approximately 22.95% of the circulating BTC. Additionally, sharks with assets between 10 and 100 BTC reduced their supply by selling 7,062 BTC, totaling $567 million during this period. The combined value of Bitcoin sold by these major holders exceeded $4.56 billion.
Price Decline and Bearish Trend
The [Bitcoin price](https://www.thecoinrepublic.com/price-prediction/bitcoin/) followed a downward trajectory, dropping by 14.7% over the last 30 days. Market performance reports show a 7.3% dip in the past 7 days and a 1.6% decline in 24 hours. Falling prices, coupled with massive sell-offs, indicate a loss of investor optimism. While Bitcoin has historically faced market volatility, recent long-term value decreases have heightened concern in trading and investment circles.
Large Holder Netflows and Activity Decline
Sell-offs by whales and sharks are accompanied by significant network activity variations, as shown by IntoTheBlock data. Bitcoin network activity fell by 3.58% over seven days, indicating reduced trading behavior among users. Analysis of the Bitcoin ecosystem reveals diminished user activities, with the 7-day active addresses number dropping by 6.68%. A notable shift occurred in the movement of cryptocurrency assets between large holders. However, the long-term 30-day and 90-day data sets present an opposite perspective: 30-day netflow decreased by 3,814.02%, and 90-day netflow diminished by 1,172.76%, explaining the prolonged Bitcoin price decline.
According to CryptoQuant CEO Ki Young Ju, Bitcoin demand appears stable, not warranting classification as bearish. While current stagnation complicates predictions, the market's current trend indicates insufficient stability to justify a negative demand trajectory.
