Bitcoin’s (BTC) on-chain indicators are showing a significant change in behavior among long-term whales, with the average dormancy reaching its highest level in a month at the beginning of October 2025.
Market trends are signaling early warnings of possible selling pressure as some investors seem poised to take profits.
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Old Bitcoin Wallets Activate with Large Transfers
Recent data from CryptoQuant indicates that average dormancy has surged significantly. This metric reveals the duration Bitcoins were retained before being moved.
A rise in this figure signifies that long-term holders are either moving or liquidating their coins, potentially indicating selling pressure or a forthcoming price decline.
Moreover, the Coin Days Destroyed (CDD) metric has also shown a notable increase, suggesting that seasoned investors may be realizing profits at higher price levels. The rise in dormancy and CDD is corroborated by significant coin transfers.
On-chain insights from Maartunn revealed a major transfer of 32,322 BTC, estimated at around $3.93 billion, from wallets that had been inactive for three to five years.
“This marks the largest movement of Bitcoin aged 3 to 5 years in 2025 so far,” the post stated.
Similarly, Lookonchain reported that an old BTC wallet, which had remained dormant for 12 years, transferred 100 coins valued at approximately $12.5 million to two new addresses. This wallet originally acquired 691 BTC at a price of only $132, now worth $86 million.
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Furthermore, OnChain Lens observed that a Bitcoin whale deposited 3,000 BTC, around $363.9 million, into the Hyperliquid exchange. The investor converted 960.57 BTC to $116 million in USDC, retaining 46,765 BTC valued at $5.7 billion.
“For those who may not know, the last time this whale began selling, $BTC dropped nearly $9,000,” analyst Ted Pillows added.
All these activities hint at potential profit-taking by early investors. The increased activity coincides with the leading cryptocurrency experiencing a correction after briefly achieving a new all-time high earlier this week.
BeInCrypto Markets data indicated that BTC decreased by 2.38% over the past 24 hours. At the time of this update, it traded at $121,384.
Despite these distribution signals, many experts maintain a positive outlook on BTC’s future.
“The BTC rally seems to extend beyond mere speculation. While profit-taking may trigger short-term pauses, the fundamental structural drivers and market dynamics are aligning favorably,” remarked Farzam Ehsani, CEO & Co-founder of VALR, in an interview with BeInCrypto.
Ehsani anticipates Bitcoin could test $130,000-$135,000 in Q4 2025 and potentially hit $140,000 by Q1 2026, assuming no major setbacks. However, he warned that new macroeconomic or geopolitical challenges could temporarily hinder the rally and bring Bitcoin back to approximately $120,000 or even $117,000.
Nonetheless, robust dip-buying interest at these levels could offer substantial support if the current market confidence persists.
