Whales Back Off as Retail Steps In: Can Bitcoin Reclaim $80K?

Bitcoin's market dynamics are shifting as whales reduce their holdings while retail investors step in to absorb the supply, according to recent data from CryptoQuant. Over a three-week period, whale holdings decreased by 0.20%, while retail wallets added 0.09%.

This implies that larger holders are decreasing their aggression, making way for smaller investors to take on more of the available supply. However, this trend does not yet indicate strong FOMO (fear of missing out) among retail investors.

Long-term holder SOPR (Sales to Price Ratio) is also worth monitoring, as it suggests that these holders are beginning to sell some of their coins but not aggressively. If LTH SOPR increases and holdings remain high, it's possible that Bitcoin will not reach its final price peak, but rather be in the early stages of a greater increase.

Short-term holder data also shows that they have remained profitable over the past month, along with long-term holders. This reduces the risk of widespread selling at a loss and suggests that the market can absorb profit-taking without falling back into broad losses.