Bitcoin Plummets in 2025: Sellers Multiply as Market Correction Deepens
- Why Are Bitcoin Investors Panicking?
- Whales Are Making Waves—And Not the Good Kind
- ETF Exodus Adds Fuel to the Fire
- Is This the Calm Before the Storm?
- FAQ: Your Bitcoin Bloodbath Questions Answered
Bitcoin's three-week correction phase has intensified, with on-chain data revealing a surge in BTC deposits to exchanges—a clear sign of mounting sell pressure. Short-term holders are offloading at a loss, whales are joining the exodus, and bitcoin ETFs are bleeding funds. With volatility looming, the $110K support level is now the make-or-break zone for bulls. Here’s why the market is bracing for turbulence.
Why Are Bitcoin Investors Panicking?
The crypto market is no stranger to corrections, but the current Bitcoin slump has traders sweating. Over 40,000 BTC were dumped at a loss on August 1 alone—the largest single-day capitulation since July 15. Data fromshows the price briefly nosedived below $112K, triggering stop-losses for short-term holders (STHs) who bought near the cycle’s peak. As one BTCC analyst quipped, "When STHs bleed, the market feeds on fear."
Whales Are Making Waves—And Not the Good Kind
CryptoQuant’s Exchange Whale Ratio just hit a alarming 0.70, meaning over 70% of exchange deposits came from mega-holders. "Whales dumping during a correction is like watching a tsunami warning flash red," says Arab Chain, a CryptoQuant contributor. Historically, such spikes precede steep declines—think March 2024’s 20% crash. The last time whales moved like this? July 25, right before BTC slid 8% in 48 hours.
ETF Exodus Adds Fuel to the Fire
Spot Bitcoin ETFs bled $812 million on August 1—the second-worst outflow ever recorded. Even more bizarre? A "mystery whale" tried liquidating a nine-figure position over the weekend when liquidity was thin. "That’s the equivalent of selling a mansion in a ghost town," tweeted trader @52kskew. Institutional cold feet + retail panic = a recipe for volatility soup.
Is This the Calm Before the Storm?
At press time, BTC clawed back to $114K (+1.3% daily), but don’t pop champagne yet. Binance’s daily BTC inflows surged from 5,300 to 7,000 coins since July—a stark reversal from March-June’s accumulation trend. "The music stopped, and everyone’s scrambling for chairs," notes Darkfost, another CryptoQuant analyst. If $110K breaks, even long-term HODLers might tap out.
FAQ: Your Bitcoin Bloodbath Questions Answered
How much BTC was sold at a loss recently?
Over 40,000 BTC were deposited to exchanges at a loss on August 1, per CryptoQuant data.
What’s the Exchange Whale Ratio signaling?
A reading above 0.50 suggests whale dominance in sell pressure. The current 0.70 level historically correlates with steep downturns.
Are Bitcoin ETFs still a safe bet?
With record outflows and atypical weekend trading, institutions appear to be de-risking. Always DYOR—this article doesn’t constitute investment advice.
