Bitcoin has experienced a significant dip, dropping about 10% in the past week, making this February one of its worst since 2018. While institutional investors seem to be offloading millions in BTC, CryptoQuant CEO Ki Young Ju remains unfazed, calling panic sellers “noobs” and emphasizing that corrections are a natural part of a bull cycle.
Institutional Sell-Offs Amid Bitcoin’s Decline
Blockchain analytics firm Arkham Intelligence has reported that major institutions, including Fidelity, ARK Invest, and Grayscale, have sold portions of their Bitcoin holdings as its price dropped below $90,000. In addition, BlackRock—the world’s largest asset manager—reportedly sold $150 million worth of Bitcoin amid the downturn.
Despite these sell-offs, data from BiTBO suggests that institutional investors still hold a substantial amount of BTC. BlackRock’s clients alone own over 583,320 BTC, currently valued at approximately $50.2 billion. While the extent of institutional sales remains uncertain, the overall market remains significantly influenced by their trading activity.
CryptoQuant CEO’s Response: ‘You’re Too Early to Panic’
In response to the market panic, Ki Young Ju took to X (formerly Twitter) on February 27, advising investors to remain calm. He argued that 30% corrections in Bitcoin bull cycles are common, citing the 2021 drop of 53%, which still led to a new all-time high.
“If you’re panic selling now, you’re probably a noob,” Ki wrote, adding that selling when prices fall is “the worst investment strategy.” He encouraged investors to stick to a clear plan rather than reacting emotionally to market swings.
Mass Liquidations and ETF Withdrawals
As Bitcoin’s price declined, CoinGlass data showed over $765 million in liquidations in the past 24 hours alone. On February 25, an additional $1.5 billion was liquidated, further reflecting the turbulence in the market. According to SoSoValue, the recent dip coincided with the largest one-day withdrawal from spot Bitcoin ETFs, totaling $937.78 million.
Political Influence on Bitcoin’s Price Action
Bitcoin’s recent 20% drop from its peak of $109,225 has been linked to political developments. Following Donald Trump’s election victory in mid-January, optimism surged due to expectations of a more crypto-friendly regulatory environment. However, the subsequent sell-offs suggest that hopes for immediate pro-crypto policies may have diminished.
Market Outlook: A Normal Cycle or Institutional Exit?
While Bitcoin’s recent correction has sparked fear among retail investors, Ki Young Ju and other industry leaders see it as part of a natural bull cycle. However, the continued institutional sell-offs raise questions about whether large holders are repositioning or cashing out amid market volatility.
For now, Bitcoin remains under pressure, but historical patterns indicate that long-term investors may have little reason to panic.
