Bitcoin entered a downward spiral in the first week of July, bottoming out below $54,000 amid a piercing sell-off by some huge holders. Various reports using on-chain data blame the German state of Saxony for the bitcoin sell-off it seized earlier this year.

Despite this significant sell-off, Bitcoin has generally held its ground, with bulls managing to prevent further price declines. According to on-chain data, Bitcoin’s impasse can be attributed to some whales, as many of them jumped on the price drop to replenish their holdings. Interestingly, Bitcoin whales have added 71,000 BTC to their wallets this week.

Bitcoin Whales Gained 71,000 BTC This Week

Bitcoin whales went on an absolute feeding frenzy this week, amassing a whopping 71,000 BTC from cryptocurrency exchanges. While the German state of Saxony was busy selling off its cryptocurrency stashes, these substantial players were more than elated to add to their already massive holdings.

This captivating whale activity was first noticed on the social media platform X To the Block. Looking at the chart below, you can see that accumulation peaked during a 15% decline in Bitcoin value, from $63,600 on July 1 to $53,905 on July 5.

In addition to the whale accumulation, Spot Bitcoin ETFs saw steady inflows during the week despite the spot price decline. Funds positive net flows were recorded every day of the week, with the highest net flow of $310 million recorded on July 12.

Bitcoin is holding up

The German state of Saxony sold over $2 billion worth of Bitcoin last week and flooded the market with a lot of BTC. When the sell-off began, many traders and market participants were skeptical that the already bearish Bitcoin would survive the selling pressure. Many analysts even predicted the price would drop to $47,000. On the other hand, other analysts thought the sell-off was overdone.

Despite this back and forth scene, Bitcoin managed to scale through the sell-off and absorb the impact of the sell-off better than many would have expected. This showed that the cryptocurrency had already achieved stability, preventing further price declines.

It also highlights the growing maturity of the cryptocurrency market, which has been highly volatile for years. The $2 billion sell-off is very petite compared to Bitcoin’s $1.18 trillion market cap. In compact, the $2 billion represents less than 0.2% of Bitcoin’s total market cap.

At the time of writing, Bitcoin is trading at $59,960. Bulls are now targeting a break above $60,000 again. A break and hold above $60,000 would set the stage for further price gains in the coming week.

Featured image from Getty Images, chart from TradingView