As Bitcoin [BTC] shows relative strength, some long-term holders are starting to make moves. In fact, one whale has captured market attention after shifting away from accumulation. 

Onchain Lens reported that a whale who has been aggressively accumulating Bitcoin over the past six years finally moved his assets. According to the on-chain monitor, $130.5 million worth of Bitcoin was transferred. 

The associated wallet moved 800 BTC worth $52.2 million to Cumberland for OTC. At the same time, the wallet moved 1200 BTC worth $78.3 million to new addresses. 

The whale’s decision to move some holdings to Cumberland signaled the intention to sell. While OTC hardly directly affects the market supply, it could significantly affect market sentiment. However, the transfer of the large amount to a new address suggested the whale is not fully exiting but repositioning.

Any impact on BTC?

Usually, a major transfer from long-term holders is closely watched by market players. Despite the attention, it seems the transfer had no negative impact on Bitcoin’s price action.

On the contrary, BTC has continued with its bullish streak, rising to a monthly high of $66,314 before a slight pullback. At press time, Bitcoin was trading around $66,195, after rising by 3.02% on the daily charts.

With BTC holding within an uptrend since $62k a day ago, the momentum has strengthened extensively. The Stochastic Momentum Index (SMI) hiked to 67 after forming a bullish crossover two days ago.

At these levels, the current trend is relatively strong. Furthermore, the Squeeze Momentum Indicator has held and remained positive over the past week, reflecting strengthening momentum.

Often, when these indicators move in such a manner, the prevailing trend is likely to continue. If the momentum holds, Bitcoin will flip $67k and target a move above $70k.

Does Bitcoin still face rising pressure?

Although the whale transfers have had little to no impact on Bitcoin, the upward trajectory has incentivized profit takers to return.

For starters, the Bitcoin Fund Flow Ratio has been on the rise over the past week, climbing to a high of $0.06 at press time.

A rising Fund Flow Ratio suggests more coins have recently flowed into exchanges. Higher exchange flows increase the risk of short-term bearishness. This trend was further confirmed as Exchange Netflow turned positive, rising to 4.7K.

A positive Netflow suggests more BTC has recently flowed into exchanges. Historically, increased exchange inflows have preceded a weakened market structure.

Therefore, if sellers continue to offload, the pressure could weaken momentum and likely push it to $64,800.

Final Summary

• A Bitcoin whale moved 2,000 BTC worth $130.5 million, moving 800 BTC to Cumberland OTC and 1,200 to fresh addresses. 
• Rising Fund Flow Ratio and positive Netflow signal growing exchange inflows, raising short‑term bearish risk for Bitcoin.

The market is signaling that Bitcoin could be vulnerable to more volatility.

According to a recent Glassnode report, BTC saw strong realized profit-taking around $65k, while hot capital increased and sell-side pressure started building.

These signals suggest Bitcoin’s move toward $70k could face more resistance before a breakout. Notably, other on-chain metrics are showing a similar trend. 

As the chart below shows, Bitcoin’s 30-day Spot demand recovered sharply to around -80k BTC in early July but has since weakened again to nearly -170k BTC.

This shows that Spot demand is losing momentum, while analysts are warning that a lack of fresh buying could increase the risk of a long liquidation event. 

Notably, looking at Bitcoin’s derivatives positioning, this risk doesn’t seem far-fetched.

According to CryptoQuant data, BTC’s positive funding rates have jumped over 20% in less than 72 hours, showing that bullish positioning and leverage are building up again. If Spot demand remains weak, this crowded long positioning could leave Bitcoin vulnerable to a sharp liquidation move.

This naturally reinforces Glassnode’s view that Bitcoin [BTC] could be entering a period of higher volatility. However, if Spot demand starts to recover, the narrative quickly shifts to whether bulls can flip this fakeout setup into a breakout, trap late bears, and push BTC toward the $70k level.

Bitcoin whales keep buying despite fading Spot demand 

The past 48 hours have looked like a textbook short squeeze.

According to CoinGlass data, Bitcoin short liquidations climbed above $80 million, accounting for  90%+ of total liquidations. The move coincided with BTC reclaiming $66k, showing that bears were squeezed out as the price pushed higher.

However, with Spot bids lacking, the rally could quickly turn into a fakeout.

This is where the on-chain data starts telling a different story. As the chart below shows, Bitcoin whales accumulated 66,700 BTC over the past 60 days, while mid-sized holders sold 77,800 BTC. 

From a technical perspective, this accumulation took place while Bitcoin corrected nearly 25% to around $58k. Instead of selling into weakness, whales continued adding to their positions, signaling strong conviction despite the broader risk-off environment.

Now, with Spot demand fading, this accumulation is starting to resemble a classic STH-to-LTH transition. Historically, this phase reflects supply moving into stronger hands and has often preceded a more sustainable bullish trend.

That naturally puts Bitcoin’s derivatives positioning under the spotlight.

According to AMBCrypto, if this transition is indeed underway, the recent rise in long bets looks more like strategic positioning than aggressive speculation.

The setup therefore favors Bitcoin pushing toward $70k and squeezing late shorts, rather than the current rally turning into a bull trap.

Final Summary