Bitcoin whales and large-scale holders have accumulated over $3.2 billion worth of $BTC (Bitcoin) in a massive nine-day buying spree, defying a broader market downturn that recently pushed prices to 16-month lows.
On-chain data reveals that while retail traders capitulated during the slide to $63,000, “smart money” addresses holding between 10 and 10,000 BTC added 36,322 coins to their portfolios. This aggressive accumulation occurred as the premier cryptocurrency lost nearly half its value from its October 2025 peak, effectively erasing all gains made since the 2024 U.S. presidential election.
According to recent reports from crypto analytics firm Santiment, a distinct “bullish divergence” is forming between falling prices and rising whale holdings. Between January 10 and January 19, large-tier wallets increased their positions by 1.5%, even as the market faced heavy selling pressure from institutional outflows. In contrast, small retail wallets holding less than 0.01 BTC sold a combined 132 BTC during the same period, suggesting that smaller investors are being shaken out by the extreme volatility.
Despite a bullish divergence, the market faces headwinds as Bhutan offloaded $22 million in Bitcoin, signalling increased uncertainty. The recent drop, which briefly saw Bitcoin hit $60,074 on Friday, is primarily linked to broader macroeconomic shifts. Specifically, the nomination of Kevin Warsh as the next Federal Reserve chair heightened concerns about rising real interest rates, prompting investors to withdraw capital from speculative assets like cryptocurrencies and gold.
The decline was further accelerated by massive liquidations, with over $1 billion in Bitcoin positions wiped out in a single 24-hour window. Additionally, spot Bitcoin ETFs have faced sustained pressure, with U.S.-based funds recording outflows of over $3 billion in January alone. Despite these headwinds, the total net assets in U.S. spot ETFs remain above $93.5 billion, indicating that the institutional “bedrock” has not yet panicked.
