Bitcoin whale selling cools as $60K becomes the focus for BTC price

Bitcoin (BTC) climbed to an intraday high of $68,300 during the early Asian trading hours on Tuesday amid a decline in whale selling. Selling in the derivatives markets also eased, suggesting that the “bearish position is becoming less aggressive,” according to a new analysis.

Key takeaways:

• Large BTC deposits to Binance have dropped significantly, signaling reduced selling pressure.

• Bitcoin analysts view the 200-week simple moving average at $59,430 as a key support level for BTC price.

Bitcoin whale selling slows down

CryptoQuant’s exchange data highlighted a “shift in behavior” by large players, as whale Bitcoin deposits declined across major exchanges.

The chart below shows that as Bitcoin dropped to $60,000 in early February, whales became very active on Binance, sending as much as 11,800 BTC to the exchange in a single day. 

Related: Six straight months of losses? Five things to know in Bitcoin this week

As a result, the monthly average (30-day MA) of BTC exchange inflows moved higher, to nearly 4,000 BTC sent daily to Binance by the end of February, “reflecting a more pronounced distribution phase from large holders,” CryptoQuant analyst Darkfost said in an X post on Tuesday. 

Since then, the “situation appears to have cooled down significantly,” with the 30-day MA now sitting around 1,600 BTC sent daily to Binance,” the analyst said, adding:

The figures support the latest data showing Bitcoin whales and sharks have been accumulating over the last two months, a pattern that could trigger an eventual breakout from the range. 

The sharp decline in whale deposits coincided with the Bitcoin net position change among exchanges falling by 89,710 BTC on March 26, marking the largest spike since December 2024, according to Glassnode.

The net position change, or the 30 day change of the supply held in exchange wallets, is at -68,650 BTC at the time of writing on Tuesday.

Such outflows typically indicate strong accumulation by large holders, thereby reducing immediate sell-side pressure.

Additionally, perpetual cumulative volume delta (CVD) has increased by 38.1% over the last week to -$361 million from -$583 million, “indicating a decrease in sell-side pressure,”  Glassnode said in its latest Market Impulse report, adding:

200-week trend line becomes key for BTC price

Bitcoin analysts agree the downside is not over, with several indicators suggesting that BTC is entering the “later stages” of the bear market. 

Traders have now shifted their focus to the 200-week simple moving average (SMA) at $59,430, which now acts as the last line of defense for Bitcoin.

Holding above this support level has previously led to significant recoveries in BTC price, as seen after the 2018 bear market and the 2020 Covid-19 crash.

However, losing this support would trigger another downward leg for BTC before it finds a bottom, as seen during the 2022 macro drawdown.

“Bitcoin is still above the 200-week moving average ($59,000),” analyst Crypto Patel said in a recent X post, adding:

Fellow analyst Anup Dhungana said the “200-week MA at $59K is now the primary support to watch,” after Bitcoin confirmed a bear flag breakdown.

As Cointelegraph reported, Bitcoin’s next major support now sits at $60,000-$62,000, and losing it could see a deeper correction toward $41,000, the measured target of a bear flag on the daily chart.