Bitcoin whale has sold $3.4 billion worth of BTC since December, with BTC hovering around $92,000.

According to data from blockchain analytics firm Glassnode, whales holding between 10,000 and 100,000 BTC have sold or redistributed approximately 36,500 BTC, equivalent to about $3.4 billion, since December 1. This sell-off occurred as Bitcoin struggled to break through the $94,000 resistance level. Currently, BTC is trading at $92,250 in the Asian morning session on Friday, down 0.2%.

Institutional custodians or early miners holding large amounts of Bitcoin are reducing their risk, shifting market sentiment from accumulation to distribution. This trend contrasts with retail investors’ still-high enthusiasm for buying. Meanwhile, liquidity in stablecoins has declined significantly, with inflows decreasing by 50% since August this year, indicating limited funding support for Bitcoin to surge past the $100,000 threshold.

The market is currently digesting the Fed’s interest rate cuts and its plan to inject liquidity through $40 billion in monthly Treasury bond purchases. Akshat Siddhant, Chief Quantitative Analyst at Mudrex, stated that although this liquidity injection will impact the long-term market, short-term sentiment has already improved, partly due to the re-entry of institutional funds. Over the past two days, Bitcoin and Ethereum ETF inflows have exceeded $610 million, demonstrating gradually increasing investor confidence.

Technical analysis indicates that for Bitcoin to challenge the $100,000 mark, its daily closing price must break above $94,140, with $90,000 serving as a direct support level. Analysts note that the current range of $88,000 to $94,000 may mainly be used for asset diversification rather than accumulation. If BTC falls below the $88,000 support, market volatility is expected to intensify.

Overall, the whale sell-off of $3.4 billion, declining stablecoin liquidity, and market consolidation suggest that Bitcoin still faces short-term adjustment pressure. However, its medium- to long-term upside potential depends on institutional fund flows and breakthroughs beyond key resistance levels.