Charles Edwards, the founder of Capriole Investments, has raised alarms regarding a troubling trend within the Bitcoin (BTC) and broader cryptocurrency market that contributes to the prevailing negative sentiment among investors. His observations, shared on the social media platform X (formerly Twitter), reveal that long-term Bitcoin holders, often referred to as “OG” investors, have been actively liquidating their assets.
Edwards accompanied his commentary with a chart that vividly depicts the significant activity among “OG” Bitcoin holders—those who have maintained their investments for over seven years. The chart categorizes on-chain spending in color-coded segments, illustrating both $100 million and $500 million sell-offs. Such visual data emphasizes the magnitude of the liquidations undertaken by these established investors. Notably, the chart indicates that these OG holders have been selling off their Bitcoin continuously since November 2024, offering an explanation for Bitcoin’s underwhelming performance against other risk assets throughout 2025.
Despite the relentless selling pressure, the cryptocurrency market has shown surprising resilience, managing to absorb these substantial sell-offs without the severe price declines that usually accompany similar trends in previous cycles. Analysts from Wall Street have observed that the net sales from long-term holders have exceeded 1 million Bitcoin since late June, according to insights from Ed Engel, an analyst at Compass Point.
Adding to the uncertainty, a significant liquidation of leveraged crypto positions occurred on October 10, further complicating market dynamics. Bitcoin has struggled to reclaim critical support levels of $117,000 and subsequently $112,000. Markus Thielen, the founder and CEO of Singapore-based 10X Research, conveyed his concerns in an interview with Yahoo Finance. He noted that the failure to regain these levels suggests the market may be entrenched in a bearish trend. Thielen’s firm, which initially forecasted Bitcoin to reach $100,000, now believes that the market might be “a few weeks away” from discovering a buyable bottom.
In light of these challenges, Thielen highlighted the potential for further price corrections, warning that the recent strength of the US dollar poses additional obstacles for the cryptocurrency sector. He pointed to an “air pocket” forming beneath the $93,000 mark, indicating a lack of support that could trigger further liquidations and potentially drive Bitcoin prices down to the $70,000 range.
