Despite the recent Bitcoin (BTC) price correction after a significant rally that propelled the cryptocurrency to a record high of $123,000, some analysts remain optimistic about the potential for a renewed bull run. However, one expert has raised a concerning warning that could signal the end of this bullish cycle.
Fears Of Mass Sell-Off
According to market expert OxArtikal’s thesis shared on social media platform X (formerly Twitter), Michael Saylor’s Strategy (previously MicroStrategy), the largest corporate holder of Bitcoin, is reportedly planning to sell all of its Bitcoin holdings by 2025.
This revelation comes amid movements of their substantial Bitcoin reserves to different wallets, raising alarms about the potential implications for the market.
Strategy currently controls over 628,000 BTC, representing more than 3% of Bitcoin’s total circulating supply. For context, the collapse of FTX, which held approximately 20,000 BTC, triggered a significant downturn in the market.
The expert believes that the potential sale of Strategy’s Bitcoin holdings could have a dramatically larger impact, estimated to be 30 times more severe.
Notably, Saylor has long maintained that Strategy would never sell its Bitcoin. However, the expert identified that in late June, the company quietly transferred 7,382 BTC—valued at nearly $800 million—out of its wallets and into three new wallets with no prior transaction history.
This Bitcoin was subsequently sent to Coinbase Prime, a sell-side custodian, without any public announcement or clarification during the company’s Q2 earnings report.
If Strategy were to liquidate even a small portion of its holdings, the psychological ramifications could be profound, OxArtikal further stated. He shared that this could lead to a mass sell-off, while institutional investors could reconsider their BTC allocations.
Bitcoin Could Crash Below $70,000
Historically, Strategy’s actions have coincided with significant market shifts. In 2022, the company transferred 34,000 BTC to secure a loan, shortly before a major market crash. Now, as they appear to be moving substantial amounts of Bitcoin again, the expert fears that a similar scenario could unfold.
OxArtikal asserts that sell-off by Strategy could potentially drive the price below $70,000 within days, undermining the retail comeback and deterring new investors who view Bitcoin as a long-term safe haven.
While it is not confirmed that Saylor will sell his holdings, the signs are troubling: the recent wallet movements, the involvement of Coinbase Prime, and a lack of transparency during earnings calls all point to a potential shift in strategy.
If Strategy were to exit the Bitcoin market, the expert claims that it wouldn’t merely result in a correction; it could trigger a market-wide reset, erasing years of built-up trust and confidence in Bitcoin as “digital gold.”
Featured image from DALL-E, chart from TradingView.com
