Bitcoin Faces Price Correction as Whales Drive Selling Pressure
CME Futures Gap at $114K Draws Market Attention Amid Whale Activity
Bitcoin’s historic rally appears to be losing momentum, with market analysts warning of a potential drop to $114,000 as whales begin to offload holdings and long-term investors lock in profits. This correction, if realized, could fill the CME futures gap between $114,380 and $115,630 — a technical level closely watched by traders.
BTC Slides 5% After Reaching New High
Bitcoin opened the week with strength, peaking at an all-time high of $122,000, and closing Monday at a record-setting $120,000 daily candle. However, by Tuesday, the price had sharply fallen 5% to $116,850, and continued hovering below the 20-period simple moving average (SMA) on the four-hour chart — a bearish signal for traders.
“The rejection at $120K is now a key resistance level,” said one market analyst.
Whales Moving 1,800 BTC to Binance Amidst Volatility
New data from CryptoQuant shows that whales moved approximately 1,800 BTC to Binance on Monday, signaling intensified sell-side pressure. More than 35% of total inflows on Binance came from transfers exceeding $1 million, suggesting coordinated action by large holders.
“This indicates a concentrated and deliberate move by major players to position assets on the world’s most liquid platform,” said CryptoQuant analyst Crazzyblockk.
The Binance Whale Activity Score, which measures the influence of large traders on Binance, spiked significantly following Bitcoin’s all-time high. This score’s upward trend suggests whales are either preparing to take profits or enter new positions during a volatility spike.
Long-Term Holders Join the Selloff
André Dragosch, head of research at Bitwise, noted a surge in realized profits among long-term holders, a sign that the correction may not be short-lived.
“With 98% of the total Bitcoin supply currently in profit, large holders are seizing the opportunity to lock in gains,” Dragosch said.
Historically, these levels of profit-taking have preceded significant market corrections.
CME Futures Gap at $114K Remains in Focus
Analysts now believe Bitcoin could soon retrace to the $114K level, a CME gap left behind in the recent rally. These gaps — formed when futures open at a significantly different price than they closed — are often filled by market movements.
“Bitcoin will probably fill up the CME gap during the CPI release and continue the rally up,” said crypto analyst Mikybull Crypto.
Still, some analysts see even more downside. Michael van de Poppe, founder of MN Capital, warns of a deeper correction toward $108,000 but remains optimistic:
“Staying above $108K and the trend remains upward. The bull market is here.”
Market on Edge Amid Macro Events and Whale Pressure
As macroeconomic data looms and whale activity remains high, the market watches closely for Bitcoin’s next move. Whether the correction deepens or the rally resumes, $114K remains a critical battleground.
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