Bitcoin Demand Remains Tethered to Whale Selling Activity

CryptoQuant's latest report has shed light on the ongoing challenges facing Bitcoin's demand. Despite the resurgence of ETF inflows and continued accumulation strategies, the cryptocurrency's overall demand remains under pressure.

Data from CryptoQuant reveals that as of the end of March, Bitcoin's 'apparent demand' – a measure of demand relative to new supply – was negative by approximately 63,000 coins. This indicates that large holders' selling activity has been driving market trends, leaving institutional buying efforts struggling to keep pace.

The report notes that retail and other market participants have exceeded institutional incremental buying in their selling, leading to a shrinking demand since late November 2025. Furthermore, the whale group that accumulated around 200,000 bitcoins during the bull market in 2024 began large-scale distribution in mid-2025, with the selling pace accelerating in the fourth quarter of 2025.