Bitcoin has logged its longest duration in the “Fire Sale” zone, according to a Cointelegraph report. Prices over the past week reflect this stagnant phase: Bitcoin fell 0.28%, Ethereum weakened by 0.3%, and XRP dropped 2%.
Behind the minor daily price movements, a massive rotation of asset ownership is taking place. A total of 210,000 Bitcoins moved out of long-term investor wallets in just the last seven days.
Sources of Sell Pressure in the Open Market
Most of the supply pressure comes from industry players who previously chose to hold their coins. Strategy (MSTR) recently offloaded 1,690 Bitcoins, raising $653 million through a common stock sale. This move marks their fifth sale in 2026. The total coins they have liquidated now reach 7,000 BTC, contradicting their initial promise not to sell their crypto holdings.
Additional supply also comes from the miner network. Public miners reportedly injected around $1.78 billion in selling pressure into the market. On the other hand, corporate exposure to digital assets brings its own burdens, as seen in Trump Media’s (DJT) financial report, which recorded a loss of $360.6 million in the first half of this year.
How Institutions Are Taking Positions
The exit of hundreds of thousands of Bitcoins from long-term holders is being absorbed by institutional entities. On-chain data shows that the number of whale wallets holding more than 10,000 BTC has climbed to a six-month high.
The shift in sentiment is clearly visible in the CME futures exchange. Hedge funds, which previously held structural short positions through basis trade strategies, have now reversed course to net-long, expecting prices to rise again.
Traditional financial players are also taking advantage of this discounted price phase by launching multi-billion-dollar acquisitions. Goldman Sachs agreed to buy NEOS for $2.25 billion to secure a position in its bitcoin income derivative ETF product. Similarly, payment network Mastercard completed the acquisition of BVNK for $1.8 billion.
Crypto-wrapped investment products are also expanding. Fidelity has submitted a proposal to add staking features to its Ether ETF, which manages $900 million in assets. This scheme offers quarterly payouts, with 85% of the yield going to the ETF treasury and the remaining 15% to the service provider.
Assets continue to flow from old investor wallets into the hands of increasingly established Wall Street players with their new instruments. Today’s Fire Sale phase is slowly changing the composition of who controls the long-term supply. As reported by CoinDesk.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
