Over 20,000 BTC moved from long-term holders’ wallets in the last four days.
Bitcoin price sees 7.5% weekly drop, now trading at $96,600.
Analysts view the downturn as a chance for accumulation, based on past recovery patterns after miner capitulation.
Over 20,000 BTC have moved out of long-term holders’ wallets over the past four days, a significant sell-off coinciding with a sharp drop in Bitcoin’s value. The cryptocurrency is currently trading around $96,600, down by 7.5% in the past week.
This massive movement of Bitcoin was noted by analyst Ali Martinez, who that such whale shifts could present new market opportunities.
According to CryptoQuant data, the Bitcoin long-term holder SOPR (Spent Output Profit Ratio) currently stands at 3.5. This key metric measures the profitability of coins held for more than 155 days and indicates whether long-term holders are selling at a profit. With values above 1, it’s evident that many investors are cashing out at profitable levels — often a bullish signal.
Miner Pressure and Rising Competition
Miners are now facing a period of extreme financial pressure, with profitability metrics dipping into the “extremely underpaid” zone. The rising mining difficulty, compounded by Bitcoin’s post-halving price decline, has made operations less sustainable. Despite the growing mining hashrate, returns remain low, pushing miners towards heavy selling.
This situation has historically marked major accumulation zones. Miner-to-exchange flows have reached extreme levels, suggesting a wave of capitulation. When miners are forced to sell heavily, it often signals a temporary shakeout, potentially leading to positive mid-term price corrections.
Bitcoin Price Outlook
On the daily chart, Bitcoin price currently hovers near the lower Bollinger Band, indicating oversold conditions. A potential mean reversion to the $101,500 resistance level is possible if buying interest picks up.
On the bullish side, if Bitcoin breaks above the immediate resistance at $98,000, it could retest the upper Bollinger Band at $107,000. However, the MACD remains bearish, with the signal line below the MACD line and red histograms forming — suggesting ongoing downward momentum.
Source: TradingView
Support lies around $95,500, and a failure to hold this level may push Bitcoin towards $90,000 or lower.
The ongoing price dip has the Crypto Fear and Greed Index to 44 levels, signaling fear among investors. Adding to market anxieties, former BitMEX CEO Arthur Hayes recently that Bitcoin could still drop to $70,000-$75,000 in the near future.
Despite short-term bearish trends, seasoned investors see this phase as an accumulation opportunity, aligning with historical patterns where miner capitulation often precedes recovery.