Bitcoin's market experienced significant weakness in October 2025 as long-term holders actively sold their assets, creating broader price resistance and volatility.
This sell-off has prompted substantial liquidations, affecting major cryptocurrencies and sparking discussions about market stability and future trends.
Long-Term Holders Trigger Bitcoin Volatility
The Bitcoin market experienced significant volatility as long-term holders began realizing profits. This activity triggered widespread market resistance and reduced liquidity, challenging traders and analysts alike.
Industry leaders, including James Check and Alexia Theodorou, noted the transformation from a seller's dominance to a market striving for balance. This shift is creating new dynamics within the marketplace.
"The sheer volume of sell-side pressure from existing Bitcoin holders is still not widely appreciated, but it has been the source of resistance. Not manipulation, not paper Bitcoin, not suppression, just good old-fashioned sellers. And it won’t become irrelevant." — James Check, On-chain Market Researcher, Checkonchain
$19 Billion in Leveraged Positions Liquidated
Bitcoin's volatility has caused $19 billion in leveraged positions to liquidate, affecting 1.6 million traders globally. The market's ability to stabilize remains uncertain as traders navigate these changes.
Financial experts indicate that institutional players like those on Kraken Exchange are beginning to absorb excess supply, though the redistribution has not entirely alleviated the pressure on market prices.
Analysis: Parallels Drawn to March 2020 Crash
Comparable events, such as the March 2020 crash, suggest a potential for recovery following excessive sell-offs. The current situation reflects elements seen during past crypto crises.
Analysts predict that if long-term holders continue selling, price stabilization could be delayed. This historical context provides insights into possible market trajectories after major sell-offs.