Bitcoin’s recent flirtation with the $100,000 mark has captivated market watchers, yet the anticipated rally beyond that milestone remains elusive. Despite a flurry of spot ETF inflows and positive regulatory vibes from the U.S., Bitcoin’s price has been oscillating between $100,000 and $110,000 for an unprecedented 42 days. The question: Who’s offloading Bitcoin, and why is this preventing the price from soaring higher?
The Invisible Hand: Who’s Selling?
Alexander Blume, managing partner at the investment adviser Two Prime, sheds light on the intricate dynamics at play. “In times of geopolitical upheaval, it’s no surprise that speculators and leverage traders are pulling back,” Blume explained during an interview with CoinDesk. “Meanwhile, fresh long-term investors are seizing the opportunity to buy.” This tug-of-war is creating a strange equilibrium in the market, with neither bulls nor bears gaining the upper hand decisively.
Blockchain analytics firm Glassnode reveals that Bitcoin wallets holding coins for less than a year are the key players in the current profit-taking spree. On a recent Monday, these wallets were responsible for a stunning 83% of the total realized profit. Notably, those holding coins for six to 12 months alone contributed a hefty $904 million to market selling pressure—making it the second-highest figure this year. As explored in our recent coverage of Bitcoin’s spot supply dynamics, this trend could signal upcoming volatility.
Old-Timers and Miners: More Sellers Emerge
Intriguingly, long-term holders, often considered the market’s ‘old guard,’ have also been cashing in. In May and early June, wallets containing coins for over a year realized an eye-popping $1.2 billion in profits, according to Glassnode. Markus Thielen, founder of 10x Research, points out that this selling pressure is neutralizing the ETF-driven demand. “It’s compressing volatility, but a breakout seems inevitable,” he asserted in a recent client note.
Adding to the selling momentum are Bitcoin miners. Data from IntoTheBlock indicates that the balance in miner wallets has shrunk from 1.94 million BTC at the end of May to about 1.91 million BTC—a sell-off of around 30,000 BTC in just 20 days. However, Philippe Bekhazi, CEO of XBTO, suggests caution. “Miners’ influence on total market volume is minor, and the real issue is whether these sales happen on high volume,” he remarked.
The Appeal of Alternatives
As Bitcoin’s price hovers in six-figure territory, the frenetic accumulation by whales and smaller addresses has noticeably slowed. Benjamin Lilly, founder of Jarvis Labs, attributes this to the allure of alternative investments. “Once BTC breached $100K, the appeal shifted to delta-neutral trades offering 15-30% APY,” Lilly noted. These strategies, which involve shorting perpetual futures while buying the asset in the spot market, provide a risk-mitigated way to capitalize on price disparities.
Jimmy Yang, co-founder of Orbit Markets, highlights another factor: Bitcoin’s maturation as an asset class. “Investors can’t expect explosive returns overnight anymore,” Yang told CoinDesk. “That’s why some long-term holders are reallocating into equities, gold, and even private placements.” This strategic diversification is a sensible move in today’s evolving financial landscape. For more on Bitcoin’s resilience amid geopolitical tensions, see our article on Bitcoin’s stability amid Iran-Israel tensions.
What Lies Ahead?
Looking forward, the market’s trajectory appears linked to broader economic indicators. “If equities break higher, BTC might follow suit,” Yang predicts, though he adds that summer doldrums could keep trading volumes muted. Blume concurs, suggesting that after Bitcoin’s swift ascent from $75K earlier this quarter, a cooling period is only natural. “The shallow dips we’re seeing could actually signal strength for the next upward move,” he mused.
As Bitcoin’s price continues to test its current boundaries, the market remains a complex web of competing interests and strategies. The ongoing interplay between short-term profit-takers, steadfast long-term holders, and opportunistic miners ensures that Bitcoin’s path forward will be anything but predictable. Whether a breakout is truly on the horizon or not, one thing’s for sure: the crypto world is watching closely.
Source
This article is based on: Who’s Selling Bitcoin Above $100K and Holding Back the Price Rally?
Further Reading
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
