December has witnessed a massive selloff from Bitcoin's largest non-exchange holders, with over $3.4 billion in BTC liquidated according to Glassnode data. The distribution pattern comes as Bitcoin encounters stubborn resistance around $94,000, raising questions about near-term price trajectory amid declining market liquidity.
Bitcoin whales are making waves in Decemberβbut not the kind bulls want to see. According to blockchain analytics firm Glassnode, the cryptocurrency's largest holders have offloaded approximately $3.37 billion worth of BTC throughout the month, marking a significant distribution phase that coincides with Bitcoin's struggle to break past key resistance levels.
The selloff from these major non-exchange wallets represents a notable shift in market dynamics. While Bitcoin has attempted multiple times to push through the $94,000 threshold, the persistent selling pressure from whales has contributed to price stagnation, with BTC currently hovering around $92,000.
This distribution pattern suggests that large holders who accumulated Bitcoin at lower price points are taking profits or repositioning their portfolios. The timing is particularly significant, as it follows Bitcoin's impressive rally earlier in the year that saw the cryptocurrency reach new all-time highs above $108,000.
Glassnode's data indicates that the selling pressure is occurring against a backdrop of thinning liquidity across cryptocurrency markets. Lower liquidity amplifies price volatility, meaning that large transactions from whales can have outsized impacts on Bitcoin's price action. This environment makes it increasingly difficult for bullish momentum to overcome established resistance zones.
Market analysts suggest several potential explanations for the whale behavior. End-of-year profit-taking is a common phenomenon in traditional and crypto markets alike, as large holders lock in gains for tax or portfolio rebalancing purposes. Additionally, macroeconomic uncertainty and upcoming regulatory developments may be prompting some institutional holders to reduce exposure.
Despite the selling pressure, Bitcoin has maintained relative stability above $90,000, demonstrating underlying support from retail and institutional buyers willing to accumulate at these levels. The key question for traders is whether this support will hold if whale distribution continues into January.
The $94,000 resistance level has now become a critical technical barrier. A decisive break above this zone could trigger renewed bullish momentum and potentially attract whales back to accumulation mode. Conversely, continued distribution could see Bitcoin test lower support levels around $85,000-$88,000.
As 2024 draws to a close, Bitcoin's price trajectory remains uncertain, with whale behavior serving as a crucial indicator for market direction in the coming weeks.