Bitcoin Whales Cash Out Over $1 Billion In 2 Weeks — Is The Crypto Rally Over?

In a surprising turn of events, Bitcoin whales have offloaded a staggering $1 billion worth of Bitcoin in just two weeks, signifying few signs of renewed demand.

According to crypto market analytics firm CryptoQuant, old whales’s realized profit in the United States dollar skyrocketed in June, indicating they started dumping coins at considerably higher prices than when they’d first acquired them.

“In US dollar terms this profit-taking is unprecedented,” posited CryptoQuant Head of Research Julio Moreno. According to Moreno, the only similar time was when Bitcoin traded at around $40,000 in April 2022, and the old whales cashed in $683 million in profits in a single day. In Bitcoin terms, realized profits then were higher at 17,000 BTC, compared to this month’s 14,000 BTC profits.

CryptoQuant CEO Ki Young Ju claimed much of these sales have likely been conducted through brokers instead of on the open market, meaning the sell-side liquidity hasn’t hit the market yet. “Brokers may deposit $BTC to exchanges, impacting the market,” he cautioned on Tuesday.

A massive sell-off in whale stashes would aggravate the crypto market’s already bearish sentiment, which has pulled Bitcoin down 2.6% compared to last week. To make matters worse, over $300 million has been withdrawn from U.S. spot Bitcoin ETFs in the past two days.

As of press time, Bitcoin was trading at $66,064, a 1.1% increase over the last 24 hours. The entire crypto market cap has seen a slight gain on the day, increasing in value by 1.4% to now stand at $2.5 trillion, according to data from CoinGecko.

Bitcoin Bull Market Losing Momentum

As the Bitcoin price consolidates lower, various other metrics suggest waning demand from new investors in recent weeks.

Not only are Bitcoin whales selling, but they are also accumulating coins at a somewhat slower rate despite increasing their purchases in late May.

Furthermore, BTC miners are continuously selling their coin reserves following nearly two months of strained revenue in the wake of the Bitcoin network’s fourth rewards halving event. When this group dumps BTC, it increases the supply and could potentially spark price correction, depending on the demand for the maiden crypto.

Meanwhile, Santiment analysts have pointed out that on-chain metrics currently show that retail investors are “mainly fearful or disinterested toward Bitcoin as prices range between $65,000 to $66,000.” The analytics firm added that the price jump that will ensue after the current market doldrums will reward the patient.