Bitcoin has fallen more than 30% from its all-time high of $126,000 and is trading around $85,500 after a brief decline to $82,000, according to market reports. Traders warn that recent moves by long-term investors are changing the way the market responds to stress. Liquidity has become thinner, causing price fluctuations to be greater than normal.
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Schiff issues a stark warning
According to gold investor Peter Schiff, Bitcoin is “finally having its IPO moment.” He said that at the time to veteran holders become salespeoplesupply at the top of the market is rising and future sell-offs could deepen.
“This is a lot Bitcoin Moving from strong to weak hands not only increases the float, but also means that future sell-offs will be larger,” Schiff said on Saturday.
His view has been echoed by bearish voices for years, but this time the comment comes against clear on-chain moves and large ETF outflows.
Traders note that long-term holders, when confident, cut back on positions near local peaks; if many do it at once, price action often becomes more violent.
Some argue that Bitcoin is finally having its IPO moment after all these years now that there is enough liquidity for the OGs to cash out. I agree, but that much Bitcoin moving from strong to weak hands not only increases the float, but also means that future sell-offs will be larger.
— Peter Schiff (@PeterSchiff) November 22, 2025
Whale migrations and big sales
Based on reports, whales and early wallets moved more than 400,000 BTC in October, activity associated with heavy selling pressure. One early investor, Owen Gunden, reportedly liquidated his entire 11,000 BTC stake in October and November.
There were also high-profile retail sales: Robert Kiyosaki announced a sale worth about $2.25 million, saying he bought when BTC was worth about $6,000 and sold almost $90,000, and that he plans to redistribute the proceeds into income businesses.
Analysts at Bitfinex point to two main causes of the recent decline: selling of long-term holders and leveraged liquidations in the derivatives markets. When margin positions decline, prices may fall before the market finds support.
ETF flows and retail sentiment
According to Bloomberg and fund registrations, investors pulled nearly $1 billion from Bitcoin ETFs in a single session, the second-largest daily outflow among the group of twelve funds.
BlackRock’s IBIT led with $355 million, while Grayscale’s GBTC and Fidelity’s FBTC each saw about $200 million exit.
Over the past month, ETF products have recorded net outflows of roughly $4 billion. Figures from Citi Research cited by market observers show that every $1 billion withdrawn causes a negative swing of about 3.4% in Bitcoin’s price.
Yet there was a countermovement: reports show ETFs reported inflows of $238 million yesterday, underscoring how flows can quickly reverse.
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Schiff’s warning shows that Bitcoin could still be shaken if large holders sell. Even if some institutions make purchases, moving coins from long-term holders to everyday investors could make future price declines bigger and faster.
People watching the market will likely pay close attention to what these experienced holders do, as their actions could decide how steep the next crash could be.
Featured image from Born Free Foundation, chart from TradingView