• Bitcoin worth $290 million recently hit Kraken as whales shed their BTC holdings. 
  • As whales flooded exchanges with Bitcoin, BTC price continued its decline below $20,000. 
  • Analysts predict a bloodbath in Bitcoin as selling pressure on BTC increases. 

Bitcoin price could crumble under selling pressure as the volume of BTC on exchanges climbs. Analysts reveal a bearish outlook on Bitcoin price. 

Also read: Bitcoin and Ethereum holders alert: Merge coincides with creditor notice deadline for Mt.Gox

Bitcoin whales shed holdings, 15,000 BTC moved to Kraken

Bitcoins purchased by a large wallet investor eight years ago, worth $290 million, has hit exchange wallets. This inflow of 15,000 BTC to Kraken from a Bitcoin whale this week is a clear example of BTC shedding by whales. 

Ki Young Ju, the CEO of CryptoQuant, commented on the rising Bitcoin volume across exchange wallets. 

Eight year old BTC on the move

Eight-year-old BTC on the move

Long-term Bitcoin holders are shedding their holdings. Whales have moved their BTC to exchange wallets as the asset's price drops below the key $20,000 level. 

The $20,000 level has a significance for Bitcoin as a key psychological barrier for the asset. It is close to Bitcoin's 2018 high and a price level at which most large wallet investors and institutions scooped up BTC. 

Selling pressure on Bitcoin climbs 

Bitcoin price traded close to the $20,000 level on September 6 before its decline. This is close to the asset's highest price point in the 2018 bull run. After hitting the $20,000 level, Bitcoin price declined 5% alongside an increase in the exchange whale ratio. 

The “exchange whale ratio” is an indicator that measures the ratio between the sum of the top ten Bitcoin transactions to exchanges and the total exchange inflows. This makes it a key indicator of the Bitcoin price trend. 

There was a sharp increase in the exchange whale ratio before a 5% decline in Bitcoin price on September 6. The steep increase indicates that whales are actively depositing Bitcoin across exchanges. The ratio is still high, and this is considered typical bear market behavior. 

Exchange whale ratio

Exchange whale ratio

Analysts predict further decline in Bitcoin

Phoenix Ashes, a Bitcoin analyst and trader, believes BTC could decline to the $18,600 level. A reclaiming of the $19,500 low is key for Bitcoin's recovery in the long term. 

Bitcoin-USDT price chart

Bitcoin-USDT price chart 


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended Content

Editors’ Picks

Bitcoin Weekly Forecast: BTC nosedives below $95,000 as spot ETFs record highest daily outflow since launch

Bitcoin Weekly Forecast: BTC nosedives below $95,000 as spot ETFs record highest daily outflow since launch

Bitcoin price continues to edge down, trading below $95,000 on Friday after declining more than 9% this week. Bitcoin US spot ETFs recorded the highest single-day outflow on Thursday since their launch in January.

More Bitcoin News
Bitcoin crashes to $96,000, altcoins bleed: Top trades for sidelined buyers

Bitcoin crashes to $96,000, altcoins bleed: Top trades for sidelined buyers

Bitcoin (BTC) slipped under the $100,000 milestone and touched the $96,000 level briefly on Friday, a sharp decline that has also hit hard prices of other altcoins and particularly meme coins. 

More Bitcoin News
Solana Price Forecast: SOL’s technical outlook and on-chain metrics hint at a double-digit correction

Solana Price Forecast: SOL’s technical outlook and on-chain metrics hint at a double-digit correction

Solana (SOL) price trades in red below $194 on Friday after declining more than 13% this week. The recent downturn has led to $38 million in total liquidations, with over $33 million coming from long positions.

More Solana News
SEC approves Hashdex and Franklin Templeton's combined Bitcoin and Ethereum crypto index ETFs

SEC approves Hashdex and Franklin Templeton's combined Bitcoin and Ethereum crypto index ETFs

The SEC approved Hashdex's proposal for a crypto index ETF. The ETF currently features Bitcoin and Ethereum, with possible additions in the future. The agency also approved Franklin Templeton's amendment to its Cboe BZX for a crypto index ETF.

More Cryptocurrencies News
Bitcoin: 2025 outlook brightens on expectations of US pro-crypto policy

Bitcoin: 2025 outlook brightens on expectations of US pro-crypto policy

Bitcoin (BTC) price has surged more than 140% in 2024, reaching the $100K milestone in early December. The rally was driven by the launch of Bitcoin Spot Exchange Traded Funds (ETFs) in January and the reduced supply following the fourth halving event in April.

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP