Bitcoin Pulls Back as Long-Term Holders Realize $3.5B in Profits

July 15, 2025

Bitcoin retreated sharply on Monday after hitting a new record high, as long-term holders took profits and a supply gap left the market exposed to swift moves.

Key Developments

Bitcoin (BTC) fell from a peak of $123,000 to below $117,000, marking a 5%–6% decline after a weekend rally pushed the price to all-time highs. The pullback follows one of the largest profit-taking events of the year.

According to Glassnode, investors realized $3.5 billion in profits over the past 24 hours. Notably, 56% of those gains were attributed to long-term holders — wallets that have held bitcoin for over 155 days.

Supply Gap Adds Volatility

Bitcoin’s sharp rally from $108,000 to $123,000 created a notable supply void between $110,000 and $116,000. The lack of trading activity in this zone has increased volatility and made the market more susceptible to sudden shifts.

This dynamic is reflected in Glassnode’s UTXO Realized Price Distribution (URPD) — a tool that analyzes the prices at which existing BTC holdings were last moved. It reveals where supply is concentrated and where it is thin.

The entity-adjusted URPD, which filters out internal transfers and exchange-held supply, shows minimal bitcoin volume in the $110K–$116K range — highlighting a structural vulnerability if price dips further into that zone.

Market Outlook

With significant profits locked in and a weak layer of support below recent highs, bitcoin’s price could continue to face short-term pressure. The absence of trading volume in key price bands leaves the door open for sharper, faster price movements in either direction.

Despite the dip, sentiment remains generally bullish following bitcoin’s strong upward momentum. But for now, traders are closely watching how the market digests recent gains and whether new buyers step in to stabilize price action.