Bitcoin’s recent rally has pushed short-term holder (STH) whales — those holding over 1,000 BTC acquired within the last five months — into record paper profits of around $10.1 billion, according to CryptoQuant.
This group, often quick to sell during market swings, has reversed fortunes in a matter of weeks. Late September saw many underwater, but ETF inflows, a softer dollar, and the ongoing U.S. government shutdown have propelled gains dramatically.
Signs of profit-taking are already evident. Exchange inflow data revealed $5.7 billion moved from STH wallets into exchanges earlier this week, highlighting that some holders are actively preparing to cash out.
Long-term holders (LTHs) have also shifted substantial BTC to STHs this cycle. Checkonchain reports 3.45 million BTC moved from LTHs to STHs — a transfer comparable to the 2016–17 cycle, albeit at prices roughly 100 times higher.
Market watchers now face a delicate balance: the current demand may absorb some selling, but a mass exit by STH whales could quickly transform these $10.1 billion in unrealized gains into realized selling pressure, testing Bitcoin’s short-term support levels.
