CryptoQuant Analysts Reveal the Cause of Bitcoin’s Rising Volatility

According to experts, as of October 14, nearly 14,000 BTC had remained inactive for 12 to 18 months. On October 15, a group of major holders who had kept their assets untouched for 3–5 years became active, moving 4,690 BTC into circulation.
Since the beginning of 2025, nearly 892,643 BTC have been transferred from this long-term holding category.

The reactivation of dormant addresses triggered a surge in the Coin Days Destroyed (CDD) indicator, which rose to its highest level in the past month.
This is the strongest reading since July, when a similar spike in whale activity preceded a Bitcoin drop from $120,000 to $112,000, analysts noted.

In recent days, large holders have moved 17,184 BTC to exchanges — the largest amount since the start of the month.
Such spikes in inflows can be seen as a potential sign of selling pressure, as bitcoins are being transferred from long-term storage to exchanges, where they are easier to sell, CryptoQuant pointed out.

Historically, this kind of whale activity often precedes local corrections in Bitcoin’s price.
However, in the current cycle, some of the transfers may be related not only to selling but also to asset reallocation between exchanges amid rising volatility.

If high whale activity continues for an extended period, it could intensify Bitcoin’s price fluctuations.
Constant large inflows and the growing concentration of coins among a limited number of players are putting increasing pressure on the market, which is gradually shifting into a bearish phase, the experts concluded.

Earlier, Michael Saylor, Executive Chairman of the American company Strategy, urged all Bitcoin investors not to give in to pessimistic sentiment or assumptions about a further decline in the crypto market.

See also: "Cardano Cryptocurrency Drops 10% Amid Bearish Trading and Pullback"

#Bitcoin (BTC)

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