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Whale dumping 140,000 BTC Bitcoin short-term under pressure and falling back
Recent on-chain data shows that large Bitcoin holders exhibited significant dumping behavior in February. According to statistics, Addresses holding 1,000 to 10,000 Bitcoins sold a total of about 140,000 Bitcoins this month, with a total value exceeding $6.5 billion.
This phenomenon is highly consistent with the recent market turbulence. After accumulating a large amount of Bitcoin for several weeks, these holders began to reduce their Bitcoin positions over the past few days. Analysis suggests that this may be one of the main reasons for the recent significant drop in Bitcoin prices.
Looking back a week ago, Bitcoin reached a historic high of $58,400. However, in the following days, its price plummeted by more than 20% and is currently fluctuating in the $45,000-$46,000 range.
Data also shows that from March 2020 to early February 2021, the number of addresses holding more than 1000 Bitcoins increased by over 14%, a period known in the industry as the "Bitcoin whale growth period." During this time, the price of Bitcoin skyrocketed from around $4000 to nearly $60,000. However, data from last week indicates that these whales seem to have started taking profits, significantly reducing their holdings.
It is worth noting that a recently launched Bitcoin ETF product in Canada has accumulated over 10,000 Bitcoins, valued at nearly $500 million. As the first of its kind in North America to receive regulatory approval, it could have a significant impact on the adoption of Bitcoin and its long-term price trends.