Bear Market Volatility Rises as Large Investors Drive Selling Pressure

CryptoQuant's analysis of exchange data suggests a growing risk of increased volatility in the current bear market. The firm points to a significant rise in the proportion of large investors' selling activity on exchanges, with 64% of all Bitcoin inflows coming from the 10 largest depositors by volume.

According to CryptoQuant's analysis, this high concentration of selling pressure among large investors increases the likelihood of heightened volatility. Furthermore, the firm notes that the average Bitcoin inflow to exchanges in February reached a six-month high, indicating sustained selling activity.