Why Is Bitcoin Moving Slowly This Cycle? Analysts Point to Whale Activity

Bitcoin’s price growth in this cycle feels slower than usual. Unlike past bull runs, the current rally is being weighed down by early investors—known as OG whales—who are cashing in on massive profits.

OG Whales Are Slowing Bitcoin’s Growth

On-chain analyst Willy Woo explained that a large share of Bitcoin’s supply is still held by whales who accumulated coins in 2011, when BTC traded at $10 or less. These early investors are sitting on 10,000x gains.

Whenever they sell, the market needs huge new inflows—around $110,000 per Bitcoin sold—to balance the selling pressure. This makes Bitcoin’s price climb more gradual compared to earlier explosive cycles.

Woo noted:

“This differential in cost basis, the supply they hold, and their rate of selling has profound impacts on how much new capital is required to lift price. Think of it as Bitcoin going through growing pains until these whales are absorbed.”

A Bitcoin Whale Shifts Billions Into Ethereum

A striking example of this selling pressure is a whale who originally received 100,784 BTC seven years ago. That stash was worth $642 million at the time and more than $11.4 billion by August 25.

Are whales buying or selling? This video breaks down the signals shaping Bitcoin’s slow climb.

In just a few days, the whale:

• Deposited 22,769 BTC (≈$2.59 billion) to Hyperliquid for sale
• Bought 472,920 ETH ($2.22 billion) on spot markets
• Opened a long position of 135,265 ETH (≈$577 million)

This aggressive move shows heavy Bitcoin profit-taking and a bold bet on Ethereum’s future upside.

Structural Weakness Adds Weekend Volatility

Aside from whale activity, Bitcoin also faces structural weaknesses. Data from CryptoQuant shows that weekends often bring sharp price swings due to lower trading volumes.

Key factors include:

• Rising exchange reserves before dips, signaling increased sell pressure
• Excessive long positions that trigger liquidation cascades
• Short-term holders locking in profits

These conditions create what analysts call a “liquidity trap,” where whales can exploit weak markets, trigger stop-losses, and drive sudden volatility.

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