Recent selling of Bitcoin by both large investors (whales) and short-term holders is causing concern in the market, with BTC prices dropping below $112,000.
Whale and Short-term Holder Bitcoin Sales
Data from the analytics platform CryptoQuant shows that Bitcoin sent to exchanges by short-term holders exceeded 40,000 BTC within 24 hours, marking the highest level since July 15. Analyst J. A. Maartunn described this situation as "short-term holders bleeding BTC."
Furthermore, whale activity in the market is also significant, raising fears of further price drops for Bitcoin.
Market Activity Analysis
The spike in exchange activity on August 1 showed a net inflow of 16,417 BTC. The Exchange Whale Ratio rising to 0.70 indicates that most of these deposits were from whales. Analysts warn that if large players continue depositing Bitcoin into exchanges, further selling pressure and price declines are to be expected.
Unusual Price Dynamics Over the Weekend
According to Cointelegraph, outflows from Bitcoin-linked funds totaled $812 million on August 1, marking the second-largest daily drawdown on record. Examination of order-book compositions indicates that large players attempted to sell assets over the weekend, signifying unusual trader behavior at a time when liquidity is generally lower.
The Bitcoin market remains tense amid mass selling from major investors and short-term holders, which could lead to further price declines.
