Bitcoin Faces a Major Holder Shift as Small Wallets Sell and Large Players Accumulate

During the last seven days evaluated by Santiment, weekly active addresses on the network rose to 712,000 units. Over that same timeframe, transactions exceeding $100,000 reached 61,800 operations.

According to the Santiment report, the high volume of large transactions reflects both the preventive redistribution of funds and direct buying by institutional entities. The firm notes that investors holding between 10 and 10,000 BTC took advantage of the retail pullbacks to accumulate value.

The regulatory environment has also influenced the behavior of smaller-scale wallets. Uncertainty surrounding the passage of the CLARITY Act in the U.S. Senate has prompted caution across the sector.

As Santiment researchers explained, the lack of resolution regarding applicable legislation for digital assets slowed enthusiasm among small traders. Prolonged lateral price consolidation ultimately discouraged retail participants, intensifying sell pressure from small addresses.

Despite the selling pressure from the retail segment, on-chain data suggests a shift in trend probability. Sustained accumulation by large wallets at support zones typically strengthens the overall market structure.

Projections by Santiment suggest that the likelihood of Bitcoin‘s price breaking above the $70,000 mark presents a more viable scenario compared to a drop below the $60,000 support level. Analytics firms expect supply absorption by well-capitalized players to limit the impact of short-term retail selling.

The next milestone to watch in network dynamics will be the start of the U.S. Senate recess, the deadline when progress on the CLARITY regulatory bill and its implications for cryptocurrency markets will be assessed.