Analyst Explains Massive Bitcoin Move: 3K BTC Looks Like 32K

Bitcoin is facing a critical test after a sharp but modest correction from its all-time highs, falling from $126,000 to around $120,000. While bulls remain in control of the broader trend, market sentiment is starting to show signs of uncertainty, with some analysts suggesting that Bitcoin could be nearing a cycle top. Others, however, maintain a more optimistic view, arguing that the market is still in price discovery mode and preparing for another leg ￰0￱ this debate, top analyst Darkfost has cautioned investors about a recent wave of misleading onchain ￰1￱ circulating across social media claimed that over 32,000 BTC, worth nearly $4 billion, moved onchain from wallets dormant for 3–5 years.

However, Darkfost clarified that this information is incorrect and stems from a misunderstanding of Bitcoin’s UTXO (Unspent Transaction Output) ￰2￱ explains that while it appears as if tens of thousands of BTC were moved, the actual amount transferred was far smaller, caused by how Bitcoin’s transaction structure records activity . Darkfost’s clarification serves as a reminder to approach sensational onchain news with caution — especially during volatile market phases when fear and euphoria can distort ￰3￱ Clarifies Misleading Whale Movement Data Darkfost shed light on the confusion surrounding the reported movement of 32,000 BTC from wallets that had been dormant for ￰4￱ explains that the whale involved — identified as the same trader who recently sold BTC on Hyperliquid to buy ETH — only moved 3,000 BTC, not 32,000.

The confusion arises because the whale’s original UTXO contained 32,321 BTC, which had been inactive for over three ￰5￱ Bitcoin’s UTXO system doesn’t allow partial spending, the entire output had to be spent to move just the 3,000 ￰6￱ the transaction, the wallet still holds 29,321 BTC, meaning that only about 10% of the total balance actually changed ￰7￱ confirmed that this particular address hadn’t shown any outflows in years, adding to the ￰8￱ large dormant wallets becoming active can sometimes signal selling pressure, he emphasized that the onchain data must be interpreted carefully to avoid exaggerating market ￰9￱ this case, the supposed “massive move” was simply a technical artifact of Bitcoin’s transaction structure, not an indication of large-scale selling.

Still, analysts and traders are keeping a close eye on similar movements, as reactivated whale addresses can sometimes precede market volatility. Darkfost’s clarification serves as a valuable reminder that context and technical understanding are essential when analyzing on-chain data — especially in times when misinformation can easily fuel panic or speculation across the crypto ￰10￱ Holds Key Support After Sharp Pullback Bitcoin is currently trading around $122,700, showing resilience after a sharp correction from its all-time high near $126,200. The 4-hour chart reveals that BTC successfully held above the $120,000 support zone, suggesting that buyers continue to defend key levels despite short-term ￰11￱ yellow line at $117,500 remains a crucial level — previously a resistance — now acting as the main structural support in case of further ￰12￱ short-term moving averages (blue and red lines) show that the price remains above both the 50-period and 200-period moving averages, confirming a bullish ￰13￱ recent bounce from $121,000 aligns with strong demand absorption, which often precedes another upward ￰14￱ Bitcoin breaks above $124,500, it could signal renewed momentum toward retesting the $126,000 ATH, potentially leading to price discovery.

However, a rejection near current levels could lead to a deeper retest toward the $120,000–$118,000 range, where the next consolidation phase may form. Overall, the chart indicates that Bitcoin’s uptrend remains intact, but bulls need a decisive close above $125,000 to confirm ￰15￱ market appears to be in a healthy pause after a steep rally, preparing for its next decisive ￰16￱ image from ChatGPT, chart from ￰17￱