Bitcoin’s Biggest Holders Pull Back, Control 68% Of Supply

Reports show a big reshuffle in Bitcoin holdings as price swings spooked some big wallets and invited smaller players back into the market.

According to Santiment, wallets holding between 10 and 10,000 BTC — the so-called “whale and shark” cohort — have trimmed their share of the total supply to a nine-month low, now around 68% after a recent wave of selling.

This pullback included roughly -81,068 BTC moved out of those buckets in about eight days.

Whales Cut Stakes, Retail Steps In

Retail buyers have been the active counterparty. Reports note that “shrimp” wallets — those holding less than 0.1 BTC — climbed to their highest share since mid-2024, now accounting for roughly 0.24% of supply.

The pattern is familiar: large holders pare exposure, smaller accounts pick up coins on dips. The result is sharper swings in price as the market rebalances.

Market Moves And What They Mean

Price action pushed the story into view. Bitcoin slid from higher levels into the low $60,000s, briefly testing roughly $59,000 before a rebound pushed it back toward the mid-$60ks.

The sell-off coincided with troubles in broader risk markets, and traders reacted fast. Some of that selling pressure showed up in ETF flows and futures, while on-chain transfers hinted that big holders were reducing positions while retail piled in.

The sell-off looks tied to both risk appetite and timing. One widely shared post on social media from CryptoQuant CEO Ki Young Ju called attention to the mood among analysts, saying that practically all Bitcoin analysts were sounding bearish at the moment. That kind of consensus can push traders toward taking quicker losses or closing positions.

Sentiment Falls To Levels Last Seen In 2022

The broader mood has hardened. The Crypto Fear & Greed Index plunged to 9 this week, a reading that sits inside “extreme fear” territory and has not been seen since the turmoil around mid-2022.

Lower sentiment often tightens liquidity and magnifies price moves. When fear is high, even small catalysts can lead to outsized reactions.

Why This Could Matter

When large holders cut back while many small accounts buy, the market structure changes. Liquidity can become thinner at certain price bands, so dips are deeper and rallies can be swift when buying returns.

History shows that these phases sometimes lead to extended consolidation periods. Other times they mark the start of a larger trend reversal. Right now, both are possible; clarity will arrive only after flows and macro signals settle.

A Note On The Backdrop

Some traders point to geopolitics and macro headlines as the trigger for the latest nervousness. Reports say global risk-off moves — including weak tech stocks and trade tensions — fed into crypto selling.

Still, Bitcoin remains well above many long-term supports that traders watch. Many long-term holders have been steady buyers through past pullbacks. That steady buying could matter if fear eases and larger investors begin to redeploy capital.

Featured image from Pexels, chart from TradingView