Short-term holders and miners drive heavy BTC sell-off; 60,000 BTC moved to exchanges
Bitcoin short-term holders and miners have sharply increased selling, raising near-term downside risk. Over the past 24 hours roughly 60,000 BTC (about $4.27 billion at the time) flowed into centralized exchanges — the largest single-day inflow in the current phase — with much moved at a loss. Miner reserves fell to about 1.80 million BTC over three days and Miner Selling Power rose to -5.4, signalling elevated miner outflows. Exchange netflows have also climbed, increasing readily available sell supply while market sentiment sits in "extreme fear" and liquidity is thin. At the time of reporting BTC traded around $71,000, ~44% below its all-time high. Traders should note the heightened capitulation risk: concentrated short-term selling, miner cash-outs and rising exchange reserves historically precede sharp pullbacks and extended bearish phases if demand remains weak.
Bearish
The article documents large, concentrated selling from two key supply sources—short-term holders and miners—plus rising exchange reserves and extreme fear sentiment. Historically, large one-day inflows to exchanges and miner cash-outs have correlated with rapid price declines and extended bearish stretches because they increase available sell liquidity while demand is thin. The 60,000 BTC move (largest single-day for the phase) and falling miner reserves demonstrate sellers dominating order books, increasing capitulation risk. Short-term impact: heightened volatility and increased probability of sharp declines as sellers overwhelm bids — traders should consider tighter risk controls, lower position sizes, or protective hedges. Long-term impact: if outflows persist, price structure could shift lower until distribution exhausts and longer-term holders absorb supply; conversely, a rapid capitulation could create a distressed buying opportunity for longer-term investors. Similar past events include 2018 and mid-2022 episodes where elevated exchange inflows and miner selling preceded multi-week drawdowns.