Bitcoin (BTC) traded relatively flat on Wednesday, signaling short-term consolidation following a sharp downturn earlier in the week.
Notably, the world’s leading cryptocurrency has remained largely range-bound in recent trading sessions following a highly volatile stretch that saw it drop by roughly 13% over the past week.
Meanwhile, according to data from the analytics platform Santiment Intelligence, the primary driver of the recent downturn has been coordinated selling by large stakeholders. Positions of whales holding between 10 and 10,000 BTC were reportedly reduced by roughly 24,602 BTC over the past week, marking a decline of about 18%.
At the same time, smaller retail addresses holding less than 0.01 BTC have slightly increased their holdings, suggesting early-stage accumulation at lower levels, though not yet strong enough to offset heavy institutional and whale distribution.
At the same time, market observers note that such divergence between large and small holders often reflects transitional phases in market cycles, in which confidence among major players weakens while retail traders begin to cautiously re-enter.
 
Additionally, popular analyst Ali Martinez identified a major support zone between $71,300 and $73,000. According to his analysis, a strong rebound from this region could trigger a move back toward $78,000. However, a decisive break below this zone could expose Bitcoin to downside targets near $65,000, raising concerns of deeper capitulation if selling pressure intensifies.
Furthermore, veteran trader Peter Brandt said the market is forming an expanding triangle pattern, a volatile setup that often precedes sharp directional moves.
He noted that such structures are common in Bitcoin’s history and typically resolve with a decisive breakout. Brandt added that a sustained move above $75,000 would invalidate his bearish view and shift momentum back to the bulls.
Moreover, analyst TedPillows offered a more cautious interpretation, arguing that recent downside moves may have already cleared short-term liquidity.
However, he warned that Bitcoin could still be vulnerable to deeper corrections, pointing to a larger liquidity cluster between $55,000 and $65,000 as a potential long-term price magnet. While he acknowledged the possibility of temporary rebounds, he maintained that a definitive market bottom has not yet been established.
At press time, BTC was trading at $65,922, reflecting a 1.90% drop in the past 24 hours.
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