- Bitcoin drops below $111K due to whale sales.
- Whale accumulation signals possible price stabilization.
- Ethereum hits record high, affecting altcoins.
Bitcoin fell below $111,000 after a brief post-Jackson Hole rally, influenced by significant whale sales and market fatigue, impacting Ethereum and major altcoins.
The sharp decline and subsequent rebound emphasize potential market volatility, underscoring whale influence and shifting focus toward macroeconomic policy over crypto-specific events.
Bitcoin briefly fell below $111,000 after Ether reached a record high. Large whale sales and market fatigue post-Jackson Hole contributed to this decline, affecting assets such as ETH and major altcoins.
The market did not see official comments from key figures such as Satoshi Nakamoto or Vitalik Buterin following the drop. On-chain analysts noted a “gap” in Bitcoin’s UTxO histogram between $111,000–$115,000. CryptoMe, an on-chain analyst from CryptoQuant, stated:
This rapid upward move created a visible gap in the UTxO histogram … the $111,000–$115,000 range remains an untested zone that could see renewed activity in the future, despite broader market optimism.
The drop caused significant concern in crypto markets, highlighted by a $2.7 billion Bitcoin dump that spurred the flash crash. This activity indicated potential accumulation by whales, hinted by negative exchange netflow figures.
Trading volumes for Bitcoin rose by 34% week-over-week, spotlighting increased market volatility. Ethereum’s independent growth during this period further underscored the uncorrelated nature of its demand.
Analysts from CryptoQuant highlighted whale accumulation and drying up of sell-side exhaustion. Institutional involvement rather than retail activity drove recent market changes, aligning with past event precedents. Axel Adler, an analyst at CryptoQuant, observed:
Bitcoin’s seller wave dried up as Spent Volume hit 529K BTC, while whales accumulated, Exchange Whale Ratio fell, and Netflow turned negative at -$128 million. Can $112K hold if sellers reappear?
With the upcoming FOMC meeting on September 17, investors are paying close attention to potential macroeconomic policy shifts. Such strategies might impact cryptocurrency valuations, with historical trends showing sensitivity to policy signals.
