Bitcoin Plummets Below 90000 Whales Sell Off Despite Strategic Reserve Order

Bitcoin has continued its decline below $90,000, with on-chain data indicating significant selling by whales. This price drop occurs despite the bullish news of an executive order for a Strategic Bitcoin Reserve. The lack of bullish momentum following this announcement has raised concerns about a potential extended bearish trend.

A prominent crypto analyst, Doctor Profit, has warned of an impending major correction in Bitcoin’s price. In a detailed post on the social media platform X, he outlined his reasons for this shift, arguing that current market conditions signal the start of the first large Bitcoin correction of this cycle.

Doctor Profit revealed that he is selling a significant portion of his holdings and entering short positions. He pointed to the recent news surrounding the Strategic Bitcoin Reserve as a key factor that led him to reevaluate his bullish stance. While retail investors view this as a game-changing development, large players and whale investors have already priced in the impact. Many crypto investors expected an accumulation of Bitcoin by the government to strengthen the reserve. However, the executive order focused on Bitcoin confiscated from previous seizures, leaving bullish investors underwhelmed.

According to Doctor Profit, the decision to sign off on this policy earlier than anticipated signaled a shift in market dynamics. He expected this move to materialize months later, allowing Bitcoin’s price to sustain upward momentum before the first significant correction. Instead, he now sees this as the primer for a long-term decline.

Doctor Profit firmly believes that Bitcoin has yet to experience a proper correction in this cycle, noting bull market trends where the asset has seen at least one 40-50% drop before reaching new all-time highs. He sees the recent developments as the final push before a 40% to 50% decline. As such, the analyst noted that this is the ideal window for distributing sell orders and entering short positions.

His outlook suggests a retracement to as low as $50,000–$60,000 before Bitcoin resumes its long-term bullish trajectory. Breaking down his trading strategy, he disclosed that he has already sold 50% of his Bitcoin holdings, which he accumulated at $16,000. He has placed short orders within the $90,000–$102,000 range, with target profits set at $74,000