In August, the pace of profit-taking by veteran Bitcoin (BTC) holders has slowed down as they resist selling, indicating a shift in market dynamics after a record-breaking July. Data from on-chain analytics platform Glassnode shows that realized profits by long-term holders, measured over a seven-day moving average, have dropped significantly from July’s streak of $1 billion per day. This marked one of the heaviest selling periods in the history of the asset. Unlike the profit-taking waves seen between November and December 2024, which were mainly driven by short-term holders who had bought BTC six to twelve months prior, the current activity is being led by long-term holders. These investors, who have been holding the OG cryptocurrency since the 2020-2022 cycle, are now realizing gains. However, the rest of the long-term holders seem content to hold onto their positions, despite the price hovering near its all-time high of $123,091 set just weeks ago. On-chain indicators also suggest a change in market composition. Recent data from CryptoQuant shows an increase in smaller, retail-sized orders dominating BTC futures activity, while the number of institutional-sized whale trades has dropped since late Q2 2025. In previous cycles, markets dominated by heavyweight buyers near their peaks were often seen as signs of distribution phases. However, the current retail-heavy structure could allow prices to test new highs unless a renewed wave of large holders offloads their positions. Meanwhile, network growth remains strong. According to analyst Ali Martinez, more than 364,000 new BTC addresses were created daily last week, the highest figure in a year. This suggests fresh retail participation, even as institutional flows momentarily taper off. At the time of writing, BTC was trading at around $121,224, up 2.6% in the last 24 hours and 5.9% over seven days, after briefly surpassing $122,000 in intraday moves. While this marks a 97.9% increase year-on-year, zooming in shows that BTC’s momentum has softened compared to its July surge. In the last two weeks, the number one crypto has risen by a modest 1.9%, with a 30-day improvement of just 2.6%. This cooling narrative is further supported by recent market metrics, with CryptoQuant’s Bull Score Index falling from 80 to 60 on August 10, indicating a slowdown in the bullish phase. Additionally, stablecoin inflows have decreased, suggesting that there is currently little capital coming into the crypto market. SPECIAL OFFER (Sponsored) Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).LIMITED OFFER for CryptoPotato readers at Bybit: Use this link to register and open a $500 FREE position on any coin! Tags: Bitcoin according to SEO standards.
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