Bitcoin price $BTC $107,048.76
Bitcoin is on track to record its weakest monthly performance in a year, amidst a confusing mix of ongoing flows from exchange-traded funds and indications of selling on the supply chains by crypto whales and small wallets.
As of this writing, the price of Bitcoin has reached approximately $107,000, with an increase of only 2% over the month, according to CoinDesk data. This is the lowest monthly gain since last July.
The slowdown in price movement seems puzzling, as U.S. exchange-traded funds (#ETFs ) continued to see strong interest, recording net inflows of $3.9 billion in consecutive weeks. Furthermore, companies' adoption of treasury bonds continues at a rapid pace globally.
Whale selling
However, on-chain data, taken from Glassnode, particularly a key metric called "Accumulation Direction Score," which analyzes the behavior of different wallet groups, does not paint a positive picture.
This metric measures the relative strength of accumulation for each group based on the size of the entities and the amount of Bitcoin acquired over the past fifteen days. A value closer to 1 indicates that participants in that group are accumulating coins, while a value closer to 0 indicates distribution. Entities such as exchanges and miners are excluded from this calculation.
Currently, holders of currencies with balances between 10 and 10,000 Bitcoin are classified in an accumulation mode, although their behavior fluctuates between buying and selling, indicating they are more opportunistic traders than ongoing buyers or sellers. In contrast, holders of currencies with 10,000 Bitcoin or slightly more tend to distribute their holdings, while smaller holders are also considered net sellers.
Consolidation phase
Between January and April 2025, all categories of cryptocurrencies experienced mostly sell-offs, but accumulation resumed once the price of Bitcoin hit its lows in April near $76,000. Now, it seems that the asset has entered another consolidation phase.
In its latest report titled "On-Chain Week," Glassnode indicates that profit-taking activity has begun to slow down. Realized profits reached $650 billion in this cycle, compared to $550 billion during the previous cycle. Glassnode attributes this trend to market slowdown, reinforcing the ongoing consolidation period. $BTC $ETH
