Long-Term Bitcoin Holders Offload Significant BTC Holdings
Over the past month, long-term Bitcoin holders (LTHs)—defined as entities holding BTC for at least six months—have sold a net total of 241,000 BTC, equating to roughly $26.8 billion at current market prices. This represents one of the largest reductions in LTH supply since early 2025, according to CryptoQuant analyst Maartunn.
This substantial selling pressure coincides with a similar sell-off by whales, who have offloaded more than 115,000 BTC during the same period. The combined activity from these market participants is poised to exert downward pressure on Bitcoin’s price in the near term.
Institutional Demand Shows Signs of Weakening
Meanwhile, Bitcoin Treasury Companies—corporate entities holding BTC as part of their reserves—have seen a notable slowdown in accumulation. Although total holdings have reached an all-time high of 1 million BTC, monthly purchase volumes have declined sharply. Strategy, the largest corporate buyer, reduced monthly buys from over 134,000 BTC in November 2024 to just 3,700 BTC in August 2025. Other treasury firms also decreased their purchases to 14,800 BTC in August from a peak of 66,000 BTC in June.
CryptoQuant’s Weekly Crypto Report highlights that August purchases fell below the 2025 monthly average for both Strategy and other firms, indicating a cooling in institutional demand. Capriole Investments founder Charles Edwards noted a continued decline in the daily rate of companies purchasing Bitcoin, suggesting institutions may be approaching exhaustion or responding cautiously to recent market developments.
Bear Flag Formation Signals Potential Price Decline to $95,000
Bitcoin’s price has retraced approximately 14% from its record high of $124,500 on August 16 to a seven-week low near $107,500 on August 30. The price has since rebounded to around $111,500 but has formed a bear flag pattern on the daily chart—a technical indicator that often precedes further declines.
BTC briefly broke below the flag on September 6 and is currently testing the lower boundary near $112,000, corresponding with the 100-day simple moving average. Failure to hold this support could trigger a continuation of the downtrend, targeting a measured move to approximately $95,500, representing a 14.5% drop from current levels.
Long-Term Outlook Remains Mixed
Despite near-term bearish signals, some analysts maintain a cautiously optimistic view of Bitcoin’s macro trajectory. The recent 13% pullback from all-time highs is comparatively shallow relative to previous corrections. Predictions now include the possibility of BTC dipping below $90,000 while maintaining an overall trajectory toward new highs.
A 30% drawdown from current all-time highs would place Bitcoin’s bottom near $87,000, aligning with the realized price held by investors over the past 6 to 12 months.
Disclaimer: This article does not constitute investment advice. Cryptocurrency investments carry inherent risks, and individuals should perform their own due diligence before making financial decisions.
FinOracleAI — Market View
The significant selling activity by long-term holders and whales, combined with weakening institutional demand, suggests heightened short-term downside risk for Bitcoin. The formation of a bear flag pattern reinforces the potential for a corrective move toward $95,000 or lower. However, the macro outlook remains nuanced, with some indicators pointing to resilience and possible recovery beyond current levels. Market participants should monitor institutional buying trends and key support levels around $112,000 and $95,000 for signs of trend reversal or continuation.
Impact: negative
