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Bitcoin traded largely sideways on Friday, following a turbulent week marked by renewed selling and a noticeable shift in investor behavior.
Notably, over the past week, the world’s largest cryptocurrency declined roughly by 5%, reflecting broader weakness across the digital asset market.
This unfolds amid a pullback driven by declines in spot demand, lower ETF inflows, and reduced speculative interest following recent highs above $80,000.
Meanwhile, popular analyst Ali Martinez stated that approximately 9,664 BTC, worth roughly $744 million, were transferred to exchanges within five days. Such inflows are often interpreted as a sign that holders may be preparing to sell, especially during periods of uncertainty or price stagnation.
Additionally, data shared by on-chain analytics platform Glassnode showed that Bitcoin decreased from above $82,000 to the mid-$76,000 range, with analysts pointing to a decline in demand spot and fading interest from both ETF investors and speculative traders.
Amid shifting market conditions, Glassnode observed that multiple demand signals are weakening at the same time, suggesting that buyers are currently less aggressive than sellers.
The firm also emphasized that long-term holders continue to provide a stabilizing force, helping prevent deeper downside moves despite recent volatility.
A key concern highlighted in the data is the proportion of supply currently held at a loss. More than 7.8 million BTC, approximated at $76,700, are estimated to be underwater. This means a significant number of investors purchased Bitcoin at higher prices during the previous rally and are now sitting on unrealized losses.
Furthermore, insights from the blockchain analytics platform CryptoQuant point to changing behavior among Bitcoin holders. According to the firm’s data, whales accumulated Bitcoin near the $78,000 level but have recently started distributing holdings in the $77,000 to $81,000 range.
This pattern suggests a more strategic approach by large players through buying during dips and selling into short-term strength. As per CryptoQuant, exchange reserves have reached a monthly high, suggesting that more coins are being positioned for potential sale on trading platforms.
At press time, BTC was trading at $75,825, reflecting a 2.32% drop in the past 24 hours.