Bitcoin is trying to regain the $70,000 level after weeks of volatility. Yet the repeated failure to hold that limit convincingly shows that demand remains fragile. Each push above this psychological barrier is met with renewed selling pressure. Reinforcing the view that the market is still hovering in a correction phase instead of establishing a stable recovery. Sentiment remains cautious as liquidity conditions tighten and traders look for clear signs of recovery.
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The latest data shared by top on-chain analyst Maartunn highlights a significant change among major owners. According to the analysis, many whales that entered the market near the $96,000 region are now sitting on significant unrealized losses following the subsequent price drop. After briefly testing those highs, Bitcoin pulled back sharply, leaving late-cycle entrants exposed to the pressure.
This dynamic suggests that some large investors may reassess risk, or reduce exposure or reposition portfolios amid major and crypto-specific uncertainties. Such behavior often contributes to increased volatility, especially when higher positions reverse.
Whaling Signals Market Redistribution Section
Recent data shared by on-chain analyst Maartunn highlights a sharp wave of apparent losses among major Bitcoin holders, pointing to an evolving market structure rather than a stagnant collapse. According to statistics, the apparent loss reached about $ 944 million in Feb. 3, $ 431 million in Feb. 4, $ 1.46 billion in Feb. 5, and $915 million in Feb. 6. These numbers show significant selling activity from investors who accumulated BTC near high price levels and are now exiting positions under pressure.
Such losses are found to often reflect the participation of late cycle entrants. When whales sell at a loss, it usually means that conviction has weakened or that risk management considerations take precedence. However, this process also means redistribution. Coins are endless; they go from weak hands to consumers willing to absorb food at low prices.
Maartunn notes that the estimated cost base for the new major owner group is now about $90,000. This suggests that much of the recent rally has occurred near that level, creating a potential area of overhead resistance if the price tries to stabilize.
Markets often evolve through these stages of redistribution. Although the short-term sentiment may remain fragile, a shift in the cost base and ownership structure can ultimately lay the groundwork for sustainability and future trend development.
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Bitcoin Price Structure Signs Continued Distribution Phase
The recent Bitcoin price structure shows a market dominated by distribution pressure rather than sustained demand. After repeatedly failing to rally above the $90K–$100K region, BTC has entered a sustained decline characterized by lower highs and increasingly aggressive selling. The recent drop to the $60K–$70K area has come with a sharp increase in volume, often associated with forced liquidations, panic exits, or large portfolio reallocations.
From a technical perspective, the price is now trading clearly below the major moving averages shown on the chart, all of which are trending down. This configuration usually indicates a mature repair phase rather than a temporary pullback. The inability to recover those averages quickly suggests weak demand and continued vigilance among institutional participants.
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The $60K–$65K region is emerging as a key support cluster. A steady hold above this range may stabilize the emotions and allow integration. However, failure to take care of this area could expose deep pockets of cash below, which could accelerate volatility.
In the short term, price action appears to be reactive rather than directional. Until volume stabilizes and BTC again seeks important trend indicators, rallies may remain positive. The market structure currently shows redistribution rather than guaranteed accumulation, keeping the downside risk high structurally.
Featured image from ChatGPT, chart from TradingView.com
