Bitcoin Rally Triggers Profit-Taking Signals Amid Whale Activity

Bitcoin is firmly trading above the $100,000 level, drawing renewed optimism from investors while also raising caution among analysts watching for potential turbulence ahead.

The recent upswing has sparked aggressive buying during price dips, but signals from both retail and institutional flows are painting a more complex picture.

The rally has pushed over 97% of BTC holders into profit, according to IntoTheBlock data. While that’s a bullish milestone, it also opens the door to increased selling pressure as some may look to cash in. This is reflected in a notable uptick in large transactions, with volume jumping from $68.4 billion to $72.6 billion—an indicator that whales are actively repositioning.

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Adding to this, the netflow ratio of major holders moving Bitcoin onto exchanges has risen to 0.17%, a sign that some big players may be preparing to sell. Historically, such moves precede short-term pullbacks, especially when momentum is high.

Despite this, institutional demand remains strong. Spot Bitcoin ETFs attracted $142 million in net inflows, led by ARK Invest, Fidelity, and BlackRock. In a single transaction, BlackRock alone added over $8 million in BTC to its holdings.

Meanwhile, the liquidation of nearly $280 million in leveraged positions over the last 24 hours—most of it from short-sellers—underscores the sharp shift in sentiment. Open interest fell slightly, but trading volumes remain robust, suggesting the rally still has fuel, even as volatility picks up.

Alexander Stefanov