Bitcoin whale accelerates hoarding, exchange supply continues to decline

Bitcoin whale hoarding momentum increases, and exchange balances and trading volumes decline simultaneously.

As some of the largest holders in the market continue to increase their holdings of Bitcoin, while exchange balances and trading activity both decline, Bitcoin whale hoarding momentum is strengthening. The latest signal came from a previously unknown wallet that extracted 2,782 bitcoins (worth approximately $177 million) from Bitstamp and transferred them to an unmarked address.

This transaction further exacerbates the overall divergence that is forming in the Bitcoin market. In the past two months, large holders have increased their holdings of tens of thousands of bitcoins, while small wallets continue to reduce their holdings. Data tracking top bitcoin holders also shows that even if exchange reserves fall to multi-year lows and supply for immediate use will become more limited once demand recovers, the proportion of positions held at the largest addresses remains largely stable.

Bitcoin Whales withdraw $177 million in BTC from Bitstamp

Blockchain tracking service Whale Alert flagged a transaction that transferred 2,782 bitcoins from Bitstamp to an unknown wallet. The withdrawal of approximately $177 million was remarkable both because of its size and because the recipient address was not on another known exchange.

Target addresses starting with bc1 qwh2 use Bitcoin's isolated witness format. Although the identity of the holder and the purpose of the transfer remain unclear, the transfer of bitcoins from an exchange to a private wallet usually means that the coins are no longer liquid that can be directly accessed by the exchange.

This distinction is crucial when assessing Bitcoin whale hoarding. Large exchange deposits can increase the supply available for trading and potential selling, while withdrawals are often associated with custody changes or long-term holding. The Bitstamp deal alone cannot determine the whale's intentions, as large transfers may also involve institutional custody arrangements or over-the-counter transactions, but the deal coincides with broader evidence of whale hoarding.

Bitcoin Whale has increased its holdings of more than 50,000 BTC

Bitstamp withdrawals are not isolated incidents. CryptoQuant contributor Woo Min-kyu reported that between June 14 and August 14, wallets holding more than 100 bitcoins increased their holdings of approximately 54,400 BTC.

Small investors operate the other way around. During the same period, wallets holding fewer than 100 bitcoins reportedly sold approximately 27,400 bitcoins, creating a significant divergence between large and small market participants.

The more concentrated group of the largest holders of Bitcoin increases their holdings faster. CryptoQuant's queue data shows that as of August 9, addresses holding more than 10,000 bitcoins had a net increase of 46,420 BTC on a 60-day rolling basis. This was the strongest reading since March 15 and was almost double the previous peak of 23,238 in mid-March.

Meanwhile, wallets holding 0.1 to 1 Bitcoin distributed approximately 9,700 BTC during the same period. The result is that even as small participants reduce exposure, the largest holders are still absorbing supply.

The concentration of Bitcoin in the largest addresses has also remained extremely stable recently. As of August 18, the top 10 holders controlled approximately 5.88% of supply, the top 20 holders accounted for 8.47%, and the top 50 and top 100 addresses held approximately 12.13% and 14.77% respectively. These shares have not shown a sharp trend of dispersion from the largest addresses, but have remained basically stable.

Bitcoin exchange reserves fall to multi-year lows

This hoarding trend is even more pronounced when Bitcoin exchange supply is shrinking. CryptoQuant data shows that the exchange's total bitcoin reserves have dropped to approximately 2.72 million, close to the bottom of the range since 2023.

Around the beginning of 2024, exchange reserves were above 3.2 million pieces, and then began to decline for a long time. The downward trend accelerates in 2025 and continues into 2026, eventually pushing reserves below 2.7 million before recovering slightly to current levels.

Bitcoin prices do not show a simple linear relationship with exchange reserves. During the decline in reserves, BTC reached a fairly high price before falling back to about $64,000. However, reserve trends suggest that the amount of Bitcoin currently held on exchanges and available for immediate trading is much lower than in previous periods.

This could become increasingly important if spot demand rebounds. When exchange liquidity is thin, new buying pressures can absorb less available supply. Continued whale hoarding could further tighten this balance, especially if large players transfer purchased bitcoins into private custody rather than returning them to exchanges.

Trading volumes fall, whales are still buying Bitcoin

Another unusual feature of the current Bitcoin whale hoarding trend is that it occurs during a period of significant contraction in trading activity.

CryptoQuant analyst BorisD pointed out that the turnover rate of mainstream cryptocurrency exchanges has dropped significantly year-on-year. Binance handled approximately US$2.55 trillion in transaction volume in July 2025, compared with approximately US$1.4 trillion in July 2026, a decrease of approximately 45%.

OKX contracts more violently. During the same period, trading volume fell from approximately US$1.055 trillion to US$447 billion, a drop of nearly 58%.

The low turnover rate suggests that speculative participation has cooled significantly compared to the more optimistic market environment in 2025. However, the largest holders of Bitcoin appear to be using this lull to increase exposure rather than exit the market.

This combination creates an interesting supply pattern: exchange reserves are at historically low levels, overall trading activity is weakening, and large players are attracting funds from small participants. If demand remains sluggish, these conditions may persist without triggering an immediate rebound. But if demand accelerates, reduced liquidity could make Bitcoin more sensitive to inflows.

Whale hoarding has not yet triggered a Bitcoin breakthrough

Despite increasingly favorable supply-side dynamics, Bitcoin has not yet confirmed a major bullish reversal. BTC is still hovering in the mid-to-low range of $60,000, suggesting that hoarding alone is not enough to overcome broader market caution.

On-chain profitability remains an important obstacle. According to Woo Min-kyu, Bitcoin's 7-day moving average spent output profit margin (SOPR) is still below 1. Below this threshold means that coins moving along the chain are, on average, sold at a loss.

For hoarding logic to translate into stronger price momentum, traders are watching whether SOPR can recover and stabilize above 1, while Bitcoin can achieve a decisive breakthrough in the $62,000 to 65,000 region. Until then, the market remained caught between improving supply conditions and weak short-term momentum.

However, the current context is completely different from the market for large-scale whale distribution. Large players are increasing their exposure, exchange reserves are low, and small investors are providing some of the absorbed BTC for larger wallets. This can gradually change the balance of available supply, even if prices remain range-bound.

Can Bitcoin whale hoarding lay the foundation for the next rally?

Entering the second half of 2026, Bitcoin whale hoarding is becoming one of the clearest trends on the chain. 1.77 The US$100 million Bitstamp withdrawal is another case of a large amount of BTC leaving the exchange at a time when the exchange's total reserves are close to multi-year lows.

The stronger signal comes from cumulative data. Whales holding more than 100 bitcoins added about 54,400 BTC in two months, while the largest address recorded its strongest 60-day hoarding since March. At the same time, small holders have been net sellers.

This does not guarantee an immediate rebound in Bitcoin. Weak trading volumes, SOPR readings below 1 and lack of confirmation of breakthroughs suggest buyers have not yet fully regained control of price movements. The next test is whether continued hoarding can tighten available supplies enough to have an impact when broader demand returns.

Currently, the largest holders of Bitcoin seem willing to continue hoarding while markets are calm. If exchange balances continue to fall and BTC stands firm above the US$62,000 to US$65,000 range, whale demand combined with limited liquid supply could become a stronger catalyst for the next round of directional movements.