The post Bitcoin (BTC) Plunges to $90,600 Amid Declining Whale Activity: What’s Next? appeared on BitcoinEthereumNews.com.

Bitcoin began the week with a significant slump, briefly falling below $90,600 to its lowest figure since November. Over the past day, the cryptocurrency declined by almost 4%, extending its monthly losses to 11%. The downturn marks a subdued period for BTC and the entire market. During this time, the whale activity also appears to have taken a tumble. Subdued Bitcoin Market Activity In his latest update, crypto analyst Ali Martinez highlighted a steep decline in large transactions on the Bitcoin network, suggesting reduced activity among “whales.” According to his tweet, the number of large Bitcoin transactions plummeted by 51.64% over the past month, dropping from 33,450 to 16,180. Such a dramatic reduction in whale activity often signals a cooling market, as these large players are typically seen as key drivers of Bitcoin price movements. Additionally, the Bitcoin network has witnessed a sharp decline in activity, with the number of active addresses dropping to 667,100 – its lowest level since November 2024. This reduction reflected a significant slowdown in user engagement and transactional activity across the network, which could be a sign of declining interest from both retail and institutional participants. Despite this, many argue that Bitcoin’s January slump is not unusual. January Declines Expected in Post-Halving Years Crypto analyst Axel Bitblaze provided a broader historical perspective, suggesting that the crypto asset’s downtrend so far this month is not unusual, particularly in post-halving years. In his tweet, Bitblaze pointed to similar patterns in January 2017, 2021, and now 2025, where Bitcoin experienced significant declines before pulling off notable bull runs. For instance, Bitcoin dropped from $1,185 to $800 in January 2017 and from $42,000 to $28,000 in January 2021. Hence, this year’s drop from $103,000 aligns with these precedents. Bitblaze also discussed the implications of Bitcoin dominance – the percentage…

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Filed under: News - @ January 13, 2025 3:29 pm