Bitcoin News Today: Bitcoin's 4.21% Weekly Decline Triggers $125K Breakout Potential After Satoshi-Era Whale Sells $9.7B

Bitcoin faces heightened volatility following a historic $9.7 billion exit by a Satoshi-era whale, whose holdings date back to 2011, as institutional absorption and technical patterns signal potential for a $125,000 breakout. The whale, reportedly linked to a hacker who took control of its wallet, liquidated over 80,000 BTC in batches through Galaxy Digital, distributing 17,123 BTC worth $1.98 billion across major exchanges like Binance, Coinbase, and OKX. This triggered a 4.21% weekly decline in Bitcoin’s price to $115,444, raising concerns about market stability [1].

Analysts suggest the selling pressure may not derail long-term trends. CryptoQuant CEO Ki Young Ju notes the shift from “old whales to new long-term whales,” emphasizing institutional adoption is reshaping market dynamics [1]. Technical analysis highlights a falling wedge pattern on Bitcoin’s 4-hour chart, with price testing the upper boundary at $118,347. A successful breakout could target $125,000, a level aligned with institutional buying activity from firms like BlackRock and MicroStrategy, which have collectively absorbed large volumes during the distribution [1].

Whale accumulation divergence further underscores market resilience. Despite the Satoshi-era distribution, large holder accumulation has accelerated to levels not seen since major accumulation phases. BlackRock added 1,204 BTC, while MicroStrategy acquired 4,225 BTC, reflecting institutional confidence in current pricing. This divergence between retail uncertainty and institutional buying typically signals smart money positioning for a major advance [1].

Bitcoin’s dominance ratio, a metric indicating its share of the total crypto market, has declined from 65.95% to 61.25%, suggesting healthy capital rotation. This trend implies Bitcoin can continue rising even as the broader crypto market expands, reinforcing sector-wide strength [1].

The market’s psychological dynamics mirror classic bull trap patterns, with volatility compressing ahead of a potential breakout. As noted by Merlijn The Trader on X, Bitcoin is navigating a cycle of “max pain and max confusion,” setting the stage for a sharp move if institutional buyers maintain absorption capacity [1].

Critically, the exit of ancient whales does not necessarily spell doom. The falling wedge pattern’s reliability as a bullish reversal, combined with institutional-grade infrastructure developments—such as cross-chain solutions enabling Bitcoin’s use in DeFi and gaming—points to evolving use cases beyond a mere store of value [1].

Sources: [1] [Bitcoin Price Prediction: Satoshi-Era Whale Exit Fuels Volatility — What’s Next?](https://cryptonews.com/news/bitcoin-price-prediction-satoshi-era-whale-exit-fuels-volatility-whats-next/)