Bitcoin Investors Cash Out $3.5 B in 24 Hours—Profit-Taking Signals Caution After New Highs

What Happened

• Massive On-Chain Realization: Glassnode data confirms $3.5 b profit-taking, led by long-term holders cashing in on gains .
• Market Correction Triggered: Following a $123K high, BTC dropped ~$6K amid red daily candles and cooling RSI, signaling a short-term retracement .
• Whale Activity & Liquidations:
  • Nearly $500M in leveraged positions (mainly long) were liquidated in the last day.
  • A substantial Satoshi-era whale moved 20,000 BTC (~$2.42B) on the same day, adding uncertainty.

Why It Matters

• Long-Term Holder Shift: Profit-taking by typically patient holders hearkens to caution; a similar pattern was seen during previous cycle tops.
• Technical Reset Phase: Despite healthy levels above the 50- and 200-day EMAs, rising exchange inflows suggest a potential short-term base or consolidation.
• Macro & Whale Influence: With both retail profit-taking and whale selling, Bitcoin may consolidate near $117K–$120K, testing market resilience before resuming growth.

Outlook & Watchers

• Bull Scenario: If long-term holders hold firm and ETF inflows continue, BTC could retest $130K–$138K.
• Caution Scenario: Ongoing liquidation and profit-taking may stall gains, circling current levels until fresh catalysts emerge.

Final Take

While today’s $3.5 B profit-taking is one of the year’s largest, Bitcoin remains technically in a bull structure. A short-term pause could be healthy—and necessary—to build momentum for the next leg up. Watch for exchange behavior, whale activity, and RSI support above $115K–$118K.