On-chain data reveals that large holders are dumping 140,000 Bitcoins, triggering a market pullback.

Recent on-chain data shows that investors holding a large amount of Bitcoin exhibited significant selling behavior in February. According to statistics, addresses holding between 1,000 to 10,000 Bitcoins sold approximately 140,000 Bitcoins this month, valued at over $6.5 billion at current market prices.

This phenomenon is highly consistent with the recent market trends. After several weeks of accumulation, large Bitcoin holders have started to reduce their positions. This coincides with the timing of a significant market downturn, and therefore it is likely one of the important reasons for the recent sharp decline in Bitcoin prices.

Looking back at the price trend of Bitcoin, it reached a historic high of $58,400 a week ago. However, in the following days, the price plummeted by more than 20% and is currently fluctuating in the range of $45,000 to $46,000.

Analysis from the data platform shows that from March 2020 to early February 2021, the number of Addresses holding over 1000 Bitcoins increased by more than 14%, referred to as the "Bitcoin Whale Accumulation Season." During this period, the price of Bitcoin soared from around $4000 to nearly $60,000. However, data from last week indicates that these large holders seem to have begun to take profits, significantly reducing their holdings.

It is worth mentioning that the first Bitcoin ETF in North America to receive regulatory approval was launched in Canada recently, and it currently holds over 10,000 Bitcoins, valued at nearly $500 million. The emergence of this new investment tool may have a significant impact on the adoption of Bitcoin and its long-term price trends.