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Bitcoin Updates: Turning Point or Opportunity? Recent STH Bitcoin Sales Signal Upcoming Bull Market Rebound

Bitcoin Updates: Turning Point or Opportunity? Recent STH Bitcoin Sales Signal Upcoming Bull Market Rebound

Bitget-RWA2025/11/20 03:02
By:Bitget-RWA

- Bitcoin's recent price drop below $100,000 triggered mass capitulation as short-term holders (STHs) dumped 148,000 BTC at a loss in 48 hours. - Institutional outflows worsened the sell-off, with $866.7M in Bitcoin ETF redemptions on Nov 13, led by Grayscale and BlackRock . - Long-term holders sold 815,000 BTC since Jan 2024, but whale wallets absorbed 45,000 BTC weekly, signaling potential market rebalancing. - Technical indicators show Bitcoin testing $94,000 support, with STH selling risks pushing pric

The latest decline in Bitcoin's price has brought increased attention to short-term investors, as data reveals these traders have been selling off large amounts of their coins during the broader market slump.

that the current selling pressure is primarily driven by STHs—those who purchased within the past three months—who have unloaded 148,000 at a loss in just the last two days. This wave of selling coincided with Bitcoin falling below the key $100,000 mark, as holders chose to realize losses rather than risk further declines.

Institutional outflows have further intensified the sell-off, especially from Bitcoin ETFs. On November 13, spot Bitcoin ETFs saw net redemptions totaling $866.7 million,

since their debut in January 2024. Grayscale's Bitcoin Mini Trust and BlackRock's , as investors redirected funds into cash, bonds, and gold amid ongoing macroeconomic uncertainty. This risk-averse movement happened alongside the resolution of the U.S. government shutdown, for a Federal Reserve rate cut in December and led to tighter liquidity.

At the same time, long-term holders (LTHs) have also been selling, though at a slower rate. Over the past month,

, representing the largest distribution since January 2024. However, —wallets with over 1,000 BTC—have absorbed much of this supply, .
Bitcoin Updates: Turning Point or Opportunity? Recent STH Bitcoin Sales Signal Upcoming Bull Market Rebound image 0
This contrast between retail panic selling and institutional accumulation , where weaker hands exit the market while stronger players increase their holdings.

Technically, the market remains vulnerable. Bitcoin's price has been moving within a downward channel,

near $94,000. If short-term selling continues, down to $94,106, though renewed buying interest in the spot market could help stabilize prices and allow for a retest of $99,314. In contrast, investors are behaving differently, than BTC. Glassnode data shows that Ethereum's role as "digital oil"—used for fees and smart contracts—results in higher transaction turnover compared to Bitcoin's "digital gold" status.

Institutional sentiment, however, is mixed.

recently invested $443 million in BlackRock's IBIT, demonstrating long-term confidence despite recent volatility. On the other hand, highlighted a broader risk-off mood, even as the new XRPC ETF saw $58.6 million in trading volume on its first day.

The ongoing tension between retail selling and institutional buying may signal a turning point.

has often come before the start of new bull markets, shifting assets from less committed to stronger hands. Still, over $80 billion in assets and large holders continuing to buy, the market's underlying strength could support a future recovery.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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