Bitcoin Whale Count Jumps 4.6%, Yet On-Chain Data Flashes Bearish

• Bitcoin whale wallets surge, signaling renewed institutional accumulation amid price rally.  
• On-chain data reveals sell pressure as Realized Cap outpaces stagnant Market Cap.  
• Active Bitcoin addresses drop, suggesting lower retail activity despite high prices.

The number of large Bitcoin holders has increased recently, signaling renewed institutional interest even as the market faces high volatility and on-chain activity shows signs of weakness. On April 1, 2025, the number of entities holding more than 1,000 BTC reached 1,725, the highest level since January.

In the past two months, 76 new entities holding over 1,000 #Bitcoin $BTC have joined the network. A 4.6% surge that signals rising institutional demand. pic.twitter.com/KsM69JImC2

— Ali (@ali_charts) April 7, 2025

The figure marks a 4.6% increase from late January, when only 1,649 such entities were recorded, according to Glassnode data. Analyst Ali noted that 76 new entities holding over 1,000 BTC joined the network within the last two months, suggesting capital inflows from major players during the recent rally.

This accumulation of whales’ holdings would come at a time when, in the same period Bitcoin rose to $83,863 on April 1 from a low slide from the end of February to early March.

Historically, shifts in the number of large holders have closely followed market moves, with a drop in February matching Bitcoin’s correction and the recent uptick accompanying its latest rally.

On-Chain Data Suggests Continued Sell Pressure

Despite these signals of large investor activity, some indicators suggest the rally may lack strong underlying support. CryptoQuant CEO Ki Young Ju pointed to a widening gap between Bitcoin’s Realized Cap and Market Cap as signs of persistent sell pressure. Realized Cap, which tracks the capital invested in Bitcoin based on transaction data, has been rising while Market Cap remains flat or declined.

#Bitcoin bull cycle is over — here’s why.

There’s a concept in on-chain data called Realized Cap. It works like this: when BTC enters a blockchain wallet, it's considered a "buy," and when it leaves, it's treated as a "sell." Using this idea, we can estimate an average cost… pic.twitter.com/xDHRin8N1K

— Ki Young Ju (@ki_young_ju) April 5, 2025

As Ju pointed out, this is a sign that new buyers are being matched by existing holders selling in the network. He pointed out that such trends existed before some bearish phases that took several months in the previous cycles.

Market Pullback Highlights Price Instability

Bitcoin’s price experienced a sharp retreat on April 7, falling 6.82% in 24 hours to trade at $77,152.96. The decline followed a recent high of $82,840 and resulted in over $100 billion in market capitalization being wiped out. The market cap now stands at $1.53 trillion. Meanwhile, daily trading volume rose to $70.59 billion, up more than 421%, reflecting increased sell-side pressure.

The correction marked one of the steepest intraday pullbacks recently, with Bitcoin briefly dipping below $74,000 before recovering slightly.

Active Addresses Fall Despite Elevated Prices

According to current statistics, the number of active Bitcoin user addresses has recently fallen to 770,500 as prices have increased. This indicates reduced user engagement in line with preceding trends witnessed in other bull markets.

During previous market rallies, the increase in the market price led to a climbing number of network addresses. Current market trends have led analysts to question retail user involvement because they suggest Bitcoin may consolidate into a reduced number of substantial wallets.

If address activity remains low, it may indicate a reduced network effect despite high valuations, potentially impacting the sustainability of price levels going forward.