Bitcoin News Today: Galaxy Digital's $9.5B BTC Transfers Trigger 2-3% Bitcoin Dip as Market Cap Falls 5-7%

Bitcoin’s price dipped 2–3% to $115,000–$116,000 as Galaxy Digital’s large-scale Bitcoin transfers sparked market jitters. The firm moved 11,910 BTC ($1.39 billion) to multiple exchanges within nine hours, with additional transfers of 80,202 BTC ($9.5 billion) between July 15–18 from a long-held wallet. These movements, flagged by on-chain analytics firm Spot On Chain, coincided with a 24-hour total crypto market cap decline of 5–7%, signaling a shift in short-term sentiment [1].

The sudden activity raised concerns of a coordinated sell-off, particularly after Galaxy previously sent 2,000 BTC ($236 million) to Binance and Bybit on July 15. While no direct sales have been confirmed, the timing and volume of transfers have intensified fears of liquidity pressure. Social media platforms amplified these worries, with trader Sumit “Wise Advice” warning that the move “is not a dip… it is a test of conviction” [1].

Market reactions followed swiftly. Futures liquidation data revealed over $700 million in long positions closed as prices fell, indicating forced selling by leveraged traders. Analysts noted that such liquidity events often precede short-term volatility but do not necessarily signal a broader bearish trend. “This is a routine portfolio rebalancing,” said crypto analyst T, who highlighted Bitcoin’s 500% rally since ETF approvals as evidence of long-term resilience despite recent turbulence [1].

Institutional confidence remains a critical counterpoint. Bitcoin ETF inflows continued unabated, reflecting sustained interest from major players. T compared Galaxy’s actions to MicroStrategy’s early BTC sales, which did not derail the asset’s upward trajectory. “The broader narrative is still bullish,” he added, noting that short-term profit-taking should not overshadow long-term fundamentals [1].

The market’s near-term outlook remains uncertain. On-chain trackers are closely monitoring exchange flows to determine if Galaxy’s transfers will lead to further selling. However, analysts caution against overreacting to single events. “This is a test of market depth,” one observer noted, suggesting that the 24-hour pullback could consolidate gains before the next upward phase [1].

Sources:

[1] [Bitcoin Selloff Alert: Galaxy Digital Triggers Panic With $9.5B BTC Moves] (https://coinpedia.org/news/bitcoin-selloff-alert-galaxy-digital-triggers-panic-with-9-5b-btc-moves/)