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Bitcoin Demand Shows Signs of Cooling as Whale Accumulation and ETF Inflows Slow

Recent on-chain data indicates a noticeable cooling in Bitcoin demand growth, potentially testing key price support levels.

Spot Bitcoin holdings increased by approximately 118,000 BTC over the past month. This represents a significant slowdown compared to the peak growth rate of 228,000 BTC observed earlier.

Accumulation by large holders, often termed ‘whales’, has also decelerated. Whale holdings grew by only 1.7% month-over-month, a sharp decline from the previous growth rate of 3.9%, signaling reduced buying pressure from this influential cohort.

Institutional demand via U.S. Bitcoin exchange-traded funds (ETFs) has weakened substantially. Average daily inflows have dropped from a peak of roughly 9,700 BTC to approximately 3,300 BTC.

Analysts identify critical on-chain support levels at $92,000 and $81,000. These levels are expected to act as potential floors should the current cooling trend lead to a price correction.

Market participants are advised to monitor these evolving demand dynamics closely. Utilizing on-chain data remains crucial for informing risk management strategies amid shifting market conditions.

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