After Bitcoin exceeded the $120,000 mark in mid-July 2025, recent data from the Whale to Flow indicator on Binance reveals potentially alarming activity. Despite rising participation from retail investors, the continued inflow of BTC from whales into Binance combined with a price decline suggests the market may be entering a technical correction phase.
This type of decline often reflects a distribution pattern, where whales begin to offload BTC on exchanges like Binance following a sharp rally Whale Inflows to Binance Remain High
The purple zone on the chart shows that whale inflows to Binance remained consistently elevated throughout July and early August.
While there were no extreme spikes, inflows stayed above the the whale inflow remained elevated with a total value of $4 to $5 billion worth of Bitcoin basis, indicating that whales are actively moving BTC into Binance, which is often a precursor to selling Retail Inflows to Binance Are Rising Again
The light blue area reveals a significant increase in retail inflows to Binance during late July and early August.
Historically, such late retail participation often marks the final phase of a bullish cycle, providing exit liquidity for whales.
Warnings About Elevated Bitcoin Inflows to Binance
Whale inflows remain high on Binance despite the price drop
→ Suggests whales are either still in selling mode or waiting for a rebound to exit.
Retail inflows into Binance increasing after the dip
→ Implies late-stage buying, which may face downside risk if the correction deepens.
Sideways price action with declining momentum
→ Despite strong inflows, the market lacks bullish follow-through, signaling potential exhaustion.
Despite the rise in retail participation, the market shows signs of internal weakness, with sustained whale inflows to Binance and loss of upward momentum.
If this behavior continues, the market may be entering a medium-term correction phase.
Written by Arab Chain
