As the price of Bitcoin climbs to a new high of $120,000, there are some noteworthy movements in the market. According to the latest observations by analysts at CryptoQuant, long-term holders have begun to reduce their Bitcoin holdings at this price level. Particularly noteworthy is that some large institutional investors, such as Galaxy Digital, have sold approximately 80,000 Bitcoins, which has drawn widespread attention from the market.

This phenomenon indicates that the current market adjustment is primarily due to the actions of these large institutions, rather than the behavior of retail investors. The holding amount of retail investors is relatively small, making it difficult to exert such a significant impact on the market.

Currently, market participants are closely watching whether this pullback will trigger a larger scale sell-off. Given the recent significant rise in Bitcoin, many investors have already secured considerable profits. If there is a widespread mentality of profit-taking, it could lead to further price declines.

Therefore, the subsequent market trend becomes particularly crucial. Investors need to closely monitor whether Bitcoin can continue to break new highs or if it will enter a profit-taking phase. In any case, the market movements during this phase will provide us with valuable insights, helping us better understand the operational mechanisms of the cryptocurrency market and the behavior patterns of holders.