Bitcoin rallies face profit-taking pressure as short-term holders deposit 467,000 BTC on exchanges

Bitcoin's latest rebound has encountered profit-taking pressure, with short-term holders transferring approximately 46,700 BTC to exchanges

Bitcoin's latest recovery is facing increasing profit-taking activity as short-term holders have transferred approximately 467,000 bitcoins worth approximately US$35.4 billion to exchanges since August 17. The shift comes as Bitcoin recently tested the $82,000 level, and institutional demand through spot ETFs remains strong. Between September 3 and 4, Bitcoin rose by about 4% before a correction occurred. As of writing, the cryptocurrency was trading at approximately US$79,673, down 0.41% in the past 24 hours.

Key Points

• Since August 17, short-term holders have sent approximately 467,000 BTC worth approximately US$35.4 billion to the exchange.
• After August 20, the proportion of for-profit bitcoin exchange inflows increased from 35% to 92%.
• Currently, short-term holders deposit approximately 27,500 BTC per day, which is approximately 29% higher than the average level in the previous three months.
• Bitcoin ETF demand balances, with approximately US$730 million flowing into spot Bitcoin ETFs during the most recent trading session.

Bitcoin tests US$82,000 level, the nature of selling activity changes

Bitcoin's recent rise has brought it back to levels seen earlier this year. The asset tested the $82,000 level between September 3 and 4 before giving up some gains. This movement has been accompanied by a significant increase in demand for U.S. listed spot Bitcoin ETFs. According to market data cited in recent reports, these products attracted approximately $730 million in funding during previous trading hours.

However, online data shows that this rebound has also given some investors the opportunity to lock in profits. CryptoQuant said that as Bitcoin recovers from its recent weakness, short-term holders have moved from a surrender phase to a profit-taking phase.

"Short-term holders of Bitcoin (STH) have shifted from surrendering to profit-taking. Since August 17, short-term holders have sent approximately 467K BTC ($35.4 billion) to the exchange. Key shift: Profitable currencies now dominate these flows."

Short-term holders of Bitcoin (STH) have shifted from surrendering to profit-taking.
Since August 17, short-term holders have sent approximately 467K BTC ($35.4 billion) to the exchange.
Key shift: Profitable currencies now dominate these flows.
pic.twitter.com/WUZAsFxDWw -CryptoQuant.com (@cryptoquant_com) September 4, 2026

This distinction is important because exchange deposits reflect different market conditions, depending on whether the currency is profitable or loss-shifting.

Profitable exchange inflows rise sharply

CryptoQuant data shows that the profitability of bitcoins entering exchanges has undergone significant changes. When bitcoin is traded below the realized price for short-term holders, only about 35% of exchange inflows are profitable. Since August 20, that proportion has climbed to about 92%.

This suggests that the current wave of exchange transfers is mainly driven by holders who obtain Bitcoin at lower prices and currently have unrealized gains. This shift followed Bitcoin's return to above the realization price of approximately $67,600 for short-term holders. CryptoQuant said the cost base for this group subsequently increased to approximately $70,600 within 15 days. As new market participants enter with progressively higher prices, their unrealized gains increase as Bitcoin recovers.

Daily bitcoin deposits are above average

Increased profit-taking is also reflected in daily exchange activity. CryptoQuant estimates that short-term holders currently send approximately 27,500 BTC to exchanges every day, which, based on its calculations, represents approximately $2.2 billion. This daily flow is about 29% higher than the average for the previous three months, indicating that activity among short-term holders has become more significant during the recovery.

Despite high deposit volumes, Bitcoin continues to trade at higher levels. This suggests that demand has so far been sufficient to absorb most of the bitcoin that is being transferred to exchanges. CryptoQuant also puts the short-term holder MVRV ratio at 1.15, which means that the average investor in this group is estimated to have about 15% of unrealized profits. Historically, the company has observed readings above 1.19 being associated with more sustained rallies, while levels below 1.12 tend to be coincide with shorter periods of time.

ETF demand provides balancing force

Increased short-term holder selling is accompanied by strong demand for spot Bitcoin ETFs. The approximately $730 million recorded in a recent trading session represents significant inflows and provides an important source of demand as other market participants realize gains. This creates a contrasting pattern of capital flows. https://www.cryptobreaking.com/wp-content/uploads/2026/09/ddd.jpg Source: SosoValue short-term holders move profitable bitcoins to exchanges, potentially increasing available supply, while ETF investors direct new capital into Bitcoin exposure. The ability of demand to absorb these coins has so far kept the market on its recovery.

As profit-taking increases, what to focus on next

The key question is whether Bitcoin can continue to absorb high exchange deposits if short-term holders maintain their current profit-taking pace. The latest CryptoQuant data does not establish that the rebound is over. Instead, it shows that the nature of the sell-off has shifted from capitulation to profit-realization. Investors are likely to pay close attention to short-term holder exchange traffic, the realized price level of $70,600, and continued ETF demand to understand the evolution of the balance between available supply and new purchases.