Bitcoin News Today: Large Bitcoin Holders’ Supply Share Falls to 9-Month Low as Price Slides

Large Bitcoin holders have reduced their share of the cryptocurrency’s circulating supply to the lowest level in nine months, as Bitcoin prices declined sharply and market sentiment deteriorated, according to on-chain analytics firm Santiment.In a post on X on Thursday, Santiment said so-called “whale and shark” wallets—addresses holding between 10 and 10,000 BTC—now control approximately 68.04% of total Bitcoin supply, marking a nine-month low. The firm said this group has collectively sold around 81,068 BTC over the past eight days.The reduction in large-holder exposure coincided with a steep price drop. Bitcoin fell from roughly $90,000 to $65,000, a decline of about 27%, over the same period, according to data from CoinMarketCap. Bitcoin was trading near $64,800 at the time of publication, after briefly dipping just above $60,000.Whales sell as retail accumulatesMarket participants closely track large Bitcoin wallets for signals of accumulation or distribution, as shifts in whale behavior can influence liquidity and price trends.Santiment noted that while large holders have been selling aggressively, smaller investors have continued to accumulate. “This combination of key stakeholders selling and retail buying is what historically creates bear cycles,” the firm said.Supporting the cautious outlook, CryptoQuant CEO Ki Young Ju said on X that “every Bitcoin analyst is now bearish,” reflecting the broader shift in market sentiment.Sentiment sinks to multi-year lowsThe Crypto Fear & Greed Index, which tracks overall crypto investor sentiment, fell to 9 out of 100 on Friday—its lowest reading since mid-2022, when markets were still reeling from the collapse of the Terra.Meanwhile, Santiment data shows that “shrimp” wallets—addresses holding less than 0.1 BTC—have risen to a 20-month high. This cohort now controls about 0.249% of Bitcoin’s total supply, equivalent to roughly 52,290 BTC.A similar pattern emerged in mid-2024, when retail accumulation increased as Bitcoin traded near $66,000 before falling to $53,000 two months later. Prices later rebounded sharply, reaching $100,000 for the first time in December 2024, following a surge in risk appetite after Donald Trump won the U.S. presidential election.The latest data suggests that while retail demand remains resilient, continued selling by large holders has become a defining feature of the current market downturn.