The token traded around $73,900 on Saturday after a volatile week in which it fell close to $72,600, its weakest level since mid-April. The move followed a sharp risk-off turn across digital assets after fresh US strikes on Iranian facilities unsettled markets and triggered a wave of leveraged liquidations. Ether held near $2,025, while several major altcoins continued to trade below levels seen earlier in May.
CryptoQuant’s latest assessment has added weight to the bearish case. The on-chain analytics firm has flagged a stall in whale accumulation, with addresses holding between 1,000 and 10,000 Bitcoin no longer providing the kind of structural demand that helped absorb selling pressure during earlier phases of the cycle. Annual balance growth among these large wallets has turned negative, while monthly growth has been broadly flat since February.
That pattern matters because whale buying has often acted as a stabilising force during market drawdowns. When large holders accumulate into weakness, it can signal confidence in the long-term price floor. When they stop buying, or begin trimming positions, the burden shifts to exchange-traded funds, retail traders and corporate buyers to absorb supply. Current data suggest that support has thinned at the same time as macro and geopolitical risks have increased.
CryptoQuant chief executive Ki Young Ju has warned that Bitcoin’s bear market may last until early 2027 if historical profit-and-loss cycles repeat. His argument rests on the behaviour of investor profitability after major trend reversals. Past downturns in 2014, 2018 and 2022 saw investor profit-and-loss indicators weaken for roughly 18 months before a durable recovery emerged. The current downtrend is being traced back to October 2025, when Bitcoin peaked above $126,000 before beginning a prolonged correction.
Bitcoin is now more than 40 per cent below that record, despite intermittent rebounds linked to expectations of easier monetary policy and renewed institutional demand. The price briefly recovered above $80,000 earlier this month, but the advance failed to hold as spot demand weakened and profit-taking resumed. Market participants have also been watching the $55,000 area cited by on-chain analysts as a possible reference zone in a deeper capitulation phase, though Bitcoin remains well above that level.
Exchange-traded fund flows have become a central pressure point. US spot Bitcoin funds recorded heavy redemptions during the week, including a one-day outflow of about $733 million on May 27. BlackRock’s iShares Bitcoin Trust accounted for the largest share of those withdrawals, with more than $527 million leaving the product in a single session. That move marked one of the sharpest reversals for a vehicle that had previously served as a gateway for institutional exposure to Bitcoin.
The pullback in ETF demand coincided with reduced buying activity from Strategy, the corporate holder whose purchases have often supported market sentiment. Strategy has accumulated a large Bitcoin position over several years, but its ability to keep adding aggressively depends partly on financing conditions and investor appetite for its securities. A slower pace of corporate buying removes another pillar that had helped offset selling by long-term holders and short-term traders.
Leverage amplified the latest decline. Nearly $1 billion in crypto positions were liquidated during the market slide, with long positions bearing most of the damage. Forced selling can accelerate price moves because exchanges automatically close positions when collateral falls below required levels. That dynamic often deepens downside volatility during geopolitical shocks, particularly when liquidity is thin.
The broader market backdrop remains difficult for speculative assets. Oil-price sensitivity linked to the US-Iran confrontation has revived concerns about inflation, while uncertainty over the Federal Reserve’s policy path continues to shape risk appetite. Bitcoin has often benefited from expectations of lower interest rates, but the argument becomes less persuasive when geopolitical stress strengthens demand for cash and reduces exposure to volatile assets.
Long-term holders have not abandoned the market, and Bitcoin’s supply held by committed investors remains high. That provides some resilience, but it also creates a challenge: without new demand, dormant supply can become a source of pressure when holders take profits or seek liquidity. A market with high long-term-holder supply, shrinking whale demand and ETF outflows needs a strong catalyst to rebuild momentum.
For now, traders are watching whether Bitcoin can hold above the low-$70,000 range and whether ETF flows stabilise after the heavy withdrawals. A recovery in whale accumulation would be an important signal that large investors see value at current prices. Without that shift, rallies may continue to face selling pressure from holders using rebounds to reduce exposure.
Arabian Post – Crypto News Network
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