Bitcoin has been finding it difficult to stay above $102,000 lately, largely because selling pressure is outweighing new demand. According to CryptoQuant’s on-chain data, long-term holders are cashing in profits, but the market isn’t absorbing these sales as well as it used to. This differs from earlier stages of the bull run when rising demand could balance out increased selling by long-term investors.
Julio Moreno, CryptoQuant’s head of research, pointed out that long-term holders typically sell during bull markets as Bitcoin nears or exceeds its previous peaks. Data shows their selling activity, represented by a purple line on the chart, has been climbing since early October. In past rallies, like those in early and late 2024, this profit-taking happened alongside growing demand, allowing Bitcoin to reach new highs. The chart highlights green areas for periods of strong demand and red for weak demand. During January to March and November to December 2024, long-term holder sales occurred while demand was expanding.
However, since October 2025, the trend has shifted. Even as long-term holders sell more, demand has weakened, making it harder for the market to handle the selling pressure. This has contributed to Bitcoin’s struggle to hold above $102,000, indicating that price momentum may be slowing.
Moreno emphasized that the key isn’t just how much long-term holders are selling, but whether demand can keep up. Strong demand allows the market to absorb sales and set the stage for another price surge, but weak demand leads to extended corrections or sideways movement. Much of this demand now comes from Spot Bitcoin ETFs, which have recently seen significant outflows, including a $558.44 million net outflow on November 7.
If demand doesn’t pick up in the coming weeks while long-term holders continue to sell, Bitcoin’s price could remain under pressure, delaying the next rally. For the rest of November, Bitcoin might consolidate between $101,000 and $103,000. Currently, Bitcoin is trading at $101,655, down 0.6% over the past day.
Frequently Asked Questions
Of course Here is a list of FAQs about large Bitcoin holders selling during a decline in buyer demand with clear and direct answers
BeginnerLevel Questions
1 What does it mean when large Bitcoin holders sell
It means people or institutions who own a very large amount of Bitcoin are exchanging it for traditional currency on the market
2 Why is there a shortage of buyers
A shortage of buyers happens when more people want to sell Bitcoin than want to buy it This is often due to declining demand which can be caused by negative news falling prices or a lack of confidence in the market
3 What happens to the price when big sellers cant find enough buyers
The price typically goes down Sellers have to lower their asking price to attract the few buyers that are available which pushes the market price downward
4 Is this a sign that Bitcoin is failing
Not necessarily Price declines and selloffs are a normal part of any volatile market including cryptocurrencies It indicates a period of low demand and low confidence but it doesnt mean the technology itself has failed
5 Should I sell my Bitcoin if this is happening
This is a personal financial decision Many experts advise against making panicdriven decisions Its important to consider your own financial goals and risk tolerance rather than just following the crowd
Advanced Practical Questions
6 What are the common reasons whales decide to sell off their assets
Whales may sell to take profits cut losses if they expect further price drops raise cash for other investments or due to regulatory pressures in their country
7 How can I tell if large selloffs are happening
You can look for signs like large transactions to exchange wallets a sustained and increasing trading volume on exchanges during a price drop and analysis from onchain data tools that track whale wallets
8 What is the bidask spread and how does it change in this situation
The bidask spread is the difference between the highest price a buyer is willing to pay and the lowest price a seller is willing to accept During a selloff with few buyers this spread widens significantly meaning sellers get much less than they hoped for