In a striking development that has captured the attention of the cryptocurrency market, Bitcoin whales have recently offloaded approximately $12.7 billion worth of Bitcoin over the last month. This trend of significant sales by major players in the Bitcoin ecosystem may exert continued downward pressure on the cryptocurrency’s price in the coming weeks.
CryptoQuant analyst “caueconomy” noted that this pattern of reducing exposure by large investors is intensifying, marking the largest distribution of Bitcoin this year. Specifically, whale reserves have decreased by over 100,000 Bitcoin (BTC) in the past 30 days, indicating a pronounced risk aversion among these substantial holders. This ongoing selling spree has been detrimental to the price structure, pushing Bitcoin’s value below $108,000. According to the data from CryptoQuant, this sell-off represents the largest decline since July 2022, with a substantial shift of 114,920 BTC valued at around $12.7 billion at current market prices.
While the situation appears serious, there is indication that the rapid selling may be stabilizing. On September 3, the balance changes for Bitcoin whales reached their highest level since March 2021, with over 95,000 BTC being transferred in that week. By September 6, however, the weekly balance change had dropped to approximately 38,000 BTC, suggesting a slowdown in the aggressive selling activity. Currently, Bitcoin has been trading within a narrow range of $110,000 to $111,000 over the past several days as the selling pressure has eased slightly.
CryptoQuant delineates whales as entities that hold between 1,000 and 10,000 BTC. Despite the recent volatility due to whale sell-offs, there is a counteracting force present in the market: institutional accumulation of Bitcoin. Nick Ruck, the director at LVRG Research, stated that while whale activity is capping the near-term price momentum, institutional buying—fueled partly by demand for exchange-traded funds (ETFs)—is maintaining structural resilience in the market. He emphasized the importance of monitoring whether institutional dip-buying can counterbalance the pressure from whales, especially considering macroeconomic influences like the Federal Reserve’s policy announcements.
Looking at the broader picture, medium- to long-term indicators appear healthier. Bitcoin has only retraced about 13% from its all-time high in mid-August, a recovery that is relatively mild compared to previous corrections. Analyst “Dave the wave” remarked on the significant growth of Bitcoin’s one-year moving average, which has climbed from $52,000 a year ago to approximately $94,000 today. He anticipates that this metric will surpass $100,000 in the upcoming month.
As the landscape evolves, market participants remain vigilant, balancing the impact of whale sell-offs against institutional buying trends and potential macroeconomic shifts.
