Bitcoin Downtrend Driven by Early Whale Selling, Says Ki Young Ju
CryptoQuant CEO Ki Young Ju attributes Bitcoin's recent correction to heavy selling by early whales, indicating limited short-term upside.Summary
Bitcoin's sharp price correction from $110,000 to $80,000 is primarily driven by legacy whales, who bought in near $16,000, realizing significant profits by selling hundreds of millions daily. This selling pressure is currently overwhelming the buying demand from institutional sources like spot Bitcoin ETFs and MicroStrategy, whose inflows have recently declined.
Ki Young Ju, CEO of CryptoQuant, states that on-chain metrics, specifically the PnL index with a 365-day moving average, show the market has entered the "shoulder" phase of its cycle. This late-cycle status suggests constrained growth potential and increased risk of a correction, though Ju does not foresee a dramatic 70-80% crash, viewing corrections up to 30% as reasonable.
The valuation multiplier has faded, indicating less efficient market leverage, which supports the view of limited near-term upside. Ju emphasizes that traders must rely on data-driven metrics, like exchange leverage ratios and buy-sell flow patterns, to navigate the current market structure dominated by profit-taking from long-term holders.
(Source：BeInCrypto)