Key Points
- Macro and global concerns are causing Bitcoin and altcoins to face short-term risks, according to Santiment.
- Significant selling pressure from large Bitcoin holders has led to a seven-week price decline.
Santiment, a market analytics firm, warns that Bitcoin and other altcoins face short-term risks due to macroeconomic and global concerns.
The firm’s report on March 11 indicated that large Bitcoin holders exerting substantial selling pressure have led to a consistent drop in prices for seven consecutive weeks.
Factors Contributing to the Decline
From its record high of approximately $109,000 on January 19, Bitcoin has fallen to a low of $78,000. Santiment attributes this decrease to profit-taking by key stakeholders.
On February 19, 2025, when these stakeholders began to profit, prices started to see much sharper declines. The prices continued to drop to a low of $78K, even after these high capital Bitcoin wallets started buying back a week ago on March 3, 2025.
Macroeconomic Concerns and Market Uncertainty
Trade tensions related to U.S. policies are among the macroeconomic concerns contributing to market uncertainty. The market may experience more turbulence due to these and other global issues, such as concerns among equity and crypto traders about Trump’s tariffs and a potential escalating trade war.
According to Santiment, the public seems to anticipate a drop to the $69,000-$50,000 range, as social media mentions of this price range have increased while prices continue to fall.
Altcoins have experienced more significant losses than Bitcoin. Over the past month, Ethereum has fallen by 29%, Solana by 40%, and Dogecoin by 38%.
Despite the downturn, Santiment sees indications that long-term holders are starting to accumulate again. The market might start to recover when major Bitcoin holders begin buying again, traders have already suffered heavy losses, and fear and uncertainty are widespread on social media.