With the Bitcoin price falling below $110,000 and the crash continuing to deepen, some revelations have surfaced about why this is happening at this time. Fingers had initially pointed to the bearish macro headwinds as the crypto market got caught in the crosshairs. However, on-chain data shows that it may be much simpler than that, and the decline is just due to good old dumping. More specifically, mega-Bitcoin whales of old are beginning to sell off their considerable stacks.
OG Bitcoin Whales Sell Over $1.7 Billion Worth Of BTC
A post from the on-chain data aggregation platform, Lookonchain, confirmed that the Bitcoin price decline had indeed been triggered by major sell-offs. The post highlights the movement of massive amounts of bitcoin, ranging in the thousands, into crypto exchanges as these large whales begin to take profit.
The first of these belongs to an early Bitcoin whale, known only as 1011short, who moved their considerable stack of Bitcoin into various crypto exchanges. In total, the whale deposited 13,000 BTC into different crypto exchanges, which was worth a whopping $1.48 billion at the time of the deposit. The deposits went into exchanges such as Binance, Kraken, Coinbase, and Hyperliquid, starting as far back as October 1.
Another popular wallet, tied to early Bitcoin adopter Owen Gunden, also began moving in recent times. Gunden’s wallet saw the movement of 3,265 BTC, worth $364.5 million at the time, also into the Kraken crypto exchange. The movements began on October 21 and have continued into November.
Following the deposits of these massive tranches of BTC into the crypto exchange, the Bitcoin price began to decline, suggesting that the sell-offs had begun. However, there is no telling how long these sell-offs will continue as Gunden still holds over $700 million worth of BTC.
Crash Points To Sell Pressure
The Bitcoin price being in a decline suggests that much of the average $65 billion daily volume recorded by the Coinglass website is actually coming in from sellers. If this continues and large whales continue to offload, it could send the price crashing toward $100,000.
However, with sentiment already so bad and the calls for a Bitcoin price top growing louder, it could mean that the cryptocurrency is headed toward a turning point, one that could change the face of things. A sharp Bitcoin reversal from here could see a shorts wipeout that could trigger a liquidation cascade.
