$BTC Industry insiders point out that large traders have hoarded a substantial amount of Bitcoin, estimated to account for 23% of the total circulating supply of Bitcoin. The significance behind this sell-off could be quite major, representing a bearish outlook from seasoned players on the future price of Bitcoin. However, the CEO of CryptoQuant stated that Bitcoin demand seems to be stable enough to not classify the market as a bearish one.

Analysts at Tagus Capital noted that initial disappointment over the U.S. government's strategic Bitcoin reserves affected trading sentiment. Concerns about Bitcoin's strategic reserves may have been exaggerated; the U.S. government may purchase Bitcoin in a manner that does not exceed its budget in the future, and other countries may also accelerate the adoption of Bitcoin as a strategic reserve.