On-chain actions of early miners have always been a focus of market attention. These players who started mining around 2010 have almost zero cost for their BTC holdings (the price was less than $1 at that time), and now these assets have become extremely valuable. Once these veteran miners transfer their coins to exchanges, the market immediately enters a state of "alarm and panic."

Why does this happen? Essentially, it’s a reversal of psychological expectations. Generally, people believe that transferring to an exchange means they want to sell and cash out. Retail investors, upon seeing such signals, often choose to sell first, fearing they might miss the last opportunity to buy in. A similar situation occurred in December 2025—2,000 BTC were transferred from old accounts, and the BTC price dropped accordingly, falling from a high level to around $89,300 in the short term, a decline of nearly 3%.

On the surface, this transfer did not immediately result in a sale, but it was enough to trigger market speculation and panic. In a market environment with already limited liquidity and many leveraged traders, such "suspected selling" signals can quickly escalate into chain reactions—triggering mass liquidations, further pushing down prices, and creating a vicious cycle. This is why on-chain data analysis is so crucial for traders.