Recently, Bitcoin has been experiencing a slowdown in growth due to the actions of major investors taking profits.
Slow Growth of Bitcoin
Currently, Bitcoin's growth is slower compared to previous cycles. Experts believe the key reason for this is the behavior of large investors known as 'whales'. Leading on-chain analyst Willy Woo states that a significant portion of Bitcoin's supply is concentrated in the hands of early investors who began buying BTC around 2011.
Structural Weakness
Over the past few weeks, Bitcoin has shown sharp drops, particularly over weekends when market liquidity typically decreases. This leaves the market vulnerable to manipulation by large players. According to CryptoQuant, charts show rising BTC reserves on exchanges before these drops, indicating increasing sell pressure.
Actions of Major Investors
This is evidenced by the recent actions of a large investor who is moving assets from Bitcoin to Ethereum. Research shows that this investor has offloaded a significant portion of his holdings to take advantage of the market's rise. This reflects a trend where major investors are actively securing profits, thereby creating additional obstacles to Bitcoin's growth.
The slowed growth of Bitcoin in this cycle results from the actions of large players and structural problems within the market. These factors should be closely monitored by both investors and analysts.
