Bitcoin panic selling is over: whales have bought up the supply from the bottom
The Bitcoin market has experienced a classic capital redistribution scenario: a wave of panic selling by weak hands has been replaced by aggressive accumulation by the largest holders. On-chain data analysis shows that the 14-day decline cycle in the total supply of whales (wallets with a balance of 100 BTC or more) has officially reversed upward, coinciding with a strong price rebound to $65,704.89.
The key signal is a reversal in the supply structure of major players. On June 14, the twelve-day decline in their total balance turned into growth. This moment coincided with a sharp reduction in the inflow of old coins to exchanges and a strong price recovery. Essentially, we observed a completed cycle: panic → absorption → supply deficit.
How the sell-off and absorption unfolded
The first phase occurred on June 1–4. Old coins flooded exchanges, with the Inflow CDD indicator (a measure of activity from long-dormant coins) surging to 2.16 million. This drove the price down from $71,300 to $63,800.
The second phase was absorption on June 5–10. At the bottom around $61,400, whales stepped in: over 11,400 BTC (approximately $700 million) were withdrawn from exchanges to cold wallets, reflected in a Negative Netflow. At the lowest point, the Exchange Whale Ratio, which measures the share of large transactions in incoming exchange flows, rose to 62.3% — whales were literally absorbing panic selling.
The third phase was the rebound and reversal on June 11–14. As selling dried up, a sharp supply deficit emerged in the market. The Inflow CDD indicator dropped from 2.16 million to nearly zero — just 33,000 — signaling a complete halt in selling by long-term large holders.
Why a solid bottom formed
The main takeaway from this dynamic is simple: the capital shift from less resilient holders to large holders is complete. Whales have established the $60,000–$61,500 range as a strong support level for BTC.
On June 14, the total supply of whales — wallets with a balance of 100 BTC or more — officially reversed upward, triggering a strong Bitcoin price rebound to $65,700. This reversal should be interpreted as a change in the market structure itself, not just a short-term technical bounce.
Given the depletion of exchange reserves, the path of least resistance for Bitcoin is now upward. The logic is simple: the available supply for sale on exchanges is decreasing, while coins accumulated by large holders are moving into long-term storage.
Comment from Cryptalist analyst: "We are witnessing not just a local rebound, but a fundamental shift in the balance of power in the market. Whales have completed their accumulation phase during the downturn, and selling pressure has now eased. If this trend continues, the current range could serve as a foundation for a new upward move. However, macroeconomic factors remain a key risk for any bullish scenario and should be monitored closely."