A new report from CryptoQuant reveals that large Bitcoin holders, specifically whales (holding 1,000-10,000 BTC) and dolphins (100-1,000 BTC), are reducing their holdings or slowing accumulation. Whale balances have turned negative year-over-year, matching the pattern seen during the 2022 bear market when Bitcoin fell from $47,000 to $15,000. Currently, Bitcoin is 42% off its all-time high of $126,080 set in October. The report notes that when both cohorts stall, it typically signals sustained price weakness as they are key sources of demand. Despite long-term holder supply reaching a new all-time high of 15.8 million BTC, analysts view this as bearish because it indicates a lack of new market entrants and insufficient short-term demand to absorb selling. Bitcoin traded around $73,536 on Thursday, down 1.7% in 24 hours, and is nearly 5% lower on the week. Traders have grown increasingly bearish, with prediction market odds rising that BTC will fall below $70,000 by May's end.

Key facts

• Whale balances (1,000-10,000 BTC) have turned negative year-over-year.
• Dolphin accumulation (100-1,000 BTC) has also stalled on a monthly basis.
• Bitcoin is 42% below its October 2024 all-time high of $126,080.
• Long-term holder supply reached 15.8 million BTC, an all-time high.
• Traders predict Bitcoin may drop below $70,000 by end of May.

KeyAudit data perspective