Bitcoin drops below $86,000, whales' sell-off and small investors' dip-buying create a tug-of-war

Source: TokenPost Original Title: Bitcoin $BTC crashes below $86,000 due to whale sell-offs…Small investors respond with ‘buying the dip’ Original Link: Bitcoin(BTC) price drops below $86,000( approximately 126.42 million RMB) on Monday, continuing the weak trend. Individual investors are bottom-fishing, but whales( large investors) continue to sell, creating downward pressure.

According to order flow data from analysis firm Hyblock Capital, a clear divergence has appeared in the demand-supply pattern among different investor types. Small wallets holding less than $10,000( approximately 14.7 million RMB) have accumulated purchases of $169 million( approximately 24.84 billion RMB), maintaining buying pressure during the decline. Medium investors’ wallets holding between $1,000 and $10,000( have independently made a net buy of $350 million) approximately 448.3 billion RMB( in scale, attempting a rebound.

Conversely, whales) large investors( exhibit aggressive unloading behavior. Analysis shows these large wallets sold a total of $278 million) approximately 4.885 trillion RMB( of Bitcoin during the same period. Meanwhile, small and medium investors’ cumulative buy-in was only $47.4 million) approximately 696.7 billion RMB(. Despite stable low-price buying support, the volume of sell-offs still significantly exceeds buy volume.

In terms of short-term yields, weak signals have also appeared. Short-term holders continue to sell Bitcoin at a loss, which is interpreted as signs of capitulation) capitulation(. However, no clear rebound reversal signals have been confirmed yet.

From a technical perspective, the short-term upward trend has been broken, so the possibility of retesting the recent quarterly low of $86,000) approximately 118.58 million RMB( is being discussed.

The structural movement underlying this decline reflects an imbalance between decreasing whale demand and buy orders centered around small investors. Until the market finds confirmed rebound flows, weakness may persist.

Market Interpretation

The concentrated sell-off by whales) and the low-price buying strategy of small investors( exacerbate the supply-demand imbalance. This increases the likelihood of further declines in Bitcoin price in the short term.

Strategic Points

In situations where neither side has established a clear advantage, the key question is whether institutions and large wallets will re-enter the market. During periods of increased volatility, rather than rushing in blindly, it may be more advantageous to wait until a confirmed turning point.

Terminology Explanation

• Whale)Whale(: Investors or wallet addresses holding large amounts of cryptocurrency
• Cumulative volume delta)Cumulative volume delta: An indicator measuring the strength of supply and demand between buyers and sellers
• CapitulationCapitulation: The phenomenon where investors, suffering losses, sell off in large volumes