Bitcoin’s price has taken a significant hit this week, falling to just below $101,000. The cryptocurrency’s downward movement has been marked by a series of adverse developments, including a large sell-off by whales and companies holding BTC.
This has triggered concerns that the asset is entering a potential bear market. Analysts have highlighted the possibility of further declines if the current trend continues.
This move reduced its BTC reserve from 3,234 to 2,264 coins, helping to lower its outstanding debt by nearly $94.5 million. This sale adds to the pressure already mounting on Bitcoin, as more entities are opting to offload their assets.
Whale Sell-Off Intensifies Market Decline
The move has contributed to the cryptocurrency’s ongoing correction, which has seen Bitcoin lose around 20% of its value from its all-time high reached less than a month ago.
Bear Market Concerns Grow Amid Lack of New Capital Inflows
These indicators are signaling a potential further decline in Bitcoin’s value if the situation doesn’t improve. The lack of fresh capital entering the market has left many analysts worried that Bitcoin may be entering a distribution phase.
If this trend continues, the next major market movement could shift lower, exacerbating the ongoing bearish sentiment. Bitcoin’s market cap, however, remains above $2 trillion, indicating some resilience despite the current market challenges.
