Last week proved to be a very crucial period for Bitcoin as $BTC faced a major price decline. CryptoQuant, an analytical firm, shares the stats on its official X account. As per the report, the recent price drop of $BTC comes from the highly active outflow addresses and the short-term $BTC whales.
The Weak Performance of #Bitcoin Prices: The Outflow Trend from the Market’s Key Bitcoin Holders“The most activity and impact in the recent drop have come from short-term Bitcoin whales and highly active addresses, which makes sense given the significant profits in their… pic.twitter.com/d0myjmd19P
— CryptoQuant.com (@cryptoquant_com) August 21, 2024
Bitcoin’s price has been lingering around $60K but failed to properly recover from the last market downturn a couple of weeks back. Speaking of the $BTC price drop, other altcoins have also been affected parallel to the stock market. For now, $BTC is somehow showing poor performance and struggling to maintain a price value above $60K.
Major Reasons Behind Bitcoin Price Drop
As per stats, short-term $BTC whales and highly active addresses have increased the selling pressure in the market due to which chaos is being spread across the crypto market.
Bitcoin outflows have been categorized into four main categories; highly active outflow, novice $BTC whales, frequent centralized exchanges (CEX) outflow receiving outflows, and frequent In-out flow addresses outflow.
As per CryptoQuant, The most prominent selling pressure has directly come from the short-term Bitcoin whales and highly active addresses. This selling pressure has teased the smaller trader to sell off their $BTC holdings causing a price drop and massive outflow of Bitcoin.
$BTC Struggles to Maintain Above 60K
Bitcoin, the leading cryptocurrency, is struggling to maintain above 60K amid the outflow and increased selling pressure. After a recent market downturn, $BTC maintained its legacy of being the market leader and pumped immediately and struggling to maintain above 60K.
