Bitcoin Whales Dump After Failing to Retest $105k Resistance

Bitcoin whales are increasing sales after failing to retest the $105,000 psychological level. Profit taking among institutional investors spiked during the same period, leading to massive jitters in hourly trading data.

Bitcoin (BTC) whales have been increasing sales after failing to retest the $105,000 psychological level, new data shows.

The massive outflows, in particular, sparked massive jitters in the hourly trading data as institutional investors booked some profits during the same period. However, most analysts contacted by TokenInsight support an upward trajectory following relaxed macro tensions and a couple of on-chain factors.

30,000 BTC Flow Exit Whale Addresses

Recent data shows that the bullish drive seen at the start of the week has been slowing down slightly as outflows from whale balances continue. In particular, around 30,000 BTC has been transferred out of whale addresses in the last 72 hours, signaling a new wave of profit-taking.

These movements, which add up to approximately $1.8 billion in value, come after the Bitcoin price struggled with the $105k resistance. As such, they triggered some minor sell pressures, leading to a slight drop in price.

Specifically, Bitcoin’s price fell 1.5% in a few hours before making a comeback and trading above $103,674.

As the largest cryptocurrency by market capitalization, movements by whale movements tend to influence the wider market due to the size of their holdings. Moreover, these investors usually stall bearish reactions compared to retail traders.

Reactions remain mild across altcoins as some traders view it as a natural price cycle and the effects of a prolonged dip. After Bitcoin slipped below $76K, several addresses went into losses, with large holders taking new positions.

These traders are now locking in a portion of their profits following the swift recovery. Despite the sales, about 80% of wallets are in profit due to sustained bullish resistance.

On the flipside, a majority of crypto watchers contacted by TokenInsight point to a higher rally, citing growing institutional demand. Over the past month, institutional volume spiked, taking assets under management (AUM) in crypto ETPs to new levels. Bitcoin led gains notching approximately $1.94 billion in the last 30 days.

The Magnificent II: Imperial March

While Bitcoin traders are slightly in profit-taking territory, it seems that Ether bulls are in accumulation mode. According to CryptoQuant researchers, Binance Ethereum reserves dropped by 300,000 tokens. On May 14, reserves stood at 3.9 million ETH, signaling positive demand.

Outflows from exchanges show a desire to hold assets long-term. According to analyst Amr Taha, possible reasons include the desire for self-custody and institutional accumulation.

“Shift Toward Self-Custody (HODLing). Investors may be moving ETH to cold wallets or DeFi protocols, reducing available supply on exchanges. Institutional Accumulation Large players might be withdrawing ETH for OTC trades, private investments, or staking, reducing exchange supply without direct market selling.”