Bitcoin whales and sharks offloaded 24,602 BTC over the past week while the asset dropped 13%. Santiment says that before traders call a market bottom, they should watch for one change above all others: large holders need to stop distributing and start accumulating again.
Large holders trimmed exposure as Bitcoin hit an eight-week low
Data from the on-chain analytics firm shows that wallets holding between 10 and 10,000 BTC reduced their combined balances by 0.18% during the latest decline. The selling came as Bitcoin slid to its lowest level in nearly eight weeks, tying the recent correction closely to the behavior of major holders.
Santiment’s chart also shows whale and shark balances trending lower since late April. Over that same stretch, Bitcoin made several attempts to recover but failed to sustain upward momentum. The drawdown in large-wallet holdings has moved in line with the broader weakness in price.
Retail buyers kept adding Bitcoin during the pullback
Smaller wallets moved in the opposite direction. Santiment reported that addresses holding less than 0.01 BTC added a combined 61 BTC in the past week, lifting their total holdings by 0.12%. That points to continued dip buying from retail participants even as the market weakened.
The split between these two groups stands out. Small buyers kept stepping in, but the wallets with deeper liquidity and greater market influence kept reducing exposure. For market watchers, that imbalance matters because the actions of larger holders often carry more weight than retail flows when price direction is being assessed.
Santiment says whale accumulation is the signal to watch
According to the firm, retail accumulation alone is not enough to confirm that Bitcoin has entered an attractive buying zone. A more reliable shift would be whales and sharks moving back from distribution to accumulation. Until that happens, the warning sign remains in place.
Santiment added that a stronger setup would also likely include some moderation in retail buying. In that pattern, larger investors would be showing renewed confidence while smaller traders cool their aggressive dip-buying behavior. The firm said similar conditions have often appeared near important market bottoms. For now, though, major Bitcoin holders remain net sellers.