Bitcoin’s recent price drop has attracted strong buying interest from retail investors, but market data suggests the correction may not be over yet. According to blockchain analytics platform Santiment, large Bitcoin holders have started taking profits while smaller investors continue accumulating, a pattern that has historically preceded further price declines.

At the time of writing, Bitcoin is trading around $67,984, reflecting continued uncertainty in the market after failing to hold above the $70,000 mark earlier this week.

Whales Begin Taking Profits After $74K Move

Santiment reported that major Bitcoin holders, commonly known as whales, began offloading their holdings soon after the cryptocurrency crossed $70,000 and briefly touched $74,000 earlier this week.

The analytics platform defines whales as wallets holding between 10 and 10,000 Bitcoin. These investors had accumulated heavily between Feb. 23 and Mar. 3 when Bitcoin was trading in the $62,900 to $69,600 range.

However, since Wednesday, the same group has sold roughly 66 percent of the Bitcoin they recently purchased. The shift suggests that larger players may have taken advantage of the price rally to secure profits rather than continue accumulating.

Retail Investors Continue Buying the Dip

While whales were selling, retail investors moved in the opposite direction. Wallets holding less than 0.01 Bitcoin have increased their accumulation since the price slipped below $70,000.

Santiment noted that this trend often appears during ongoing market corrections. When smaller investors aggressively buy while larger holders reduce exposure, the market sometimes experiences additional downside before stabilizing.

According to the platform, the current pattern indicates that Bitcoin’s correction may not yet be complete.

Market Sentiment Turns to Extreme Fear

The recent price movement has also affected broader market sentiment. The Crypto Fear and Greed Index dropped by six points, pushing it deeper into the “Extreme Fear” category with a score of 12 on Saturday.

Such readings generally indicate heightened anxiety among investors, often triggered by sudden price drops or uncertainty about the short-term direction of the market.

Despite the pessimism, some analysts believe this level of fear can also create conditions for future rebounds once selling pressure slows.

Analysts Watch Key Support Near $67K

Market analysts are closely monitoring the current price range for signs of stability. MN Trading Capital founder Michael van de Poppe warned that Bitcoin must hold the $67,000 to $68,000 support zone to avoid another decline.

According to him, failure to maintain this level could lead to a retest of recent lows as the market searches for liquidity before a potential recovery.

A deeper correction would not be unusual following Bitcoin’s strong rally earlier in the cycle.

ETF Outflows Add to Selling Pressure

The recent weakness also coincided with significant outflows from US-based spot Bitcoin exchange-traded funds.

Data from Farside Investors shows that these ETFs recorded net outflows of $348.9 million across 11 funds, marking the largest single-day withdrawal since Feb. 12.

ETF flows have become an important indicator of institutional sentiment toward Bitcoin, and large withdrawals can add short-term pressure on the asset’s price.

$60K Could Act as a Key Floor

Despite the recent dip, some analysts remain optimistic about Bitcoin’s longer-term outlook. Economist Timothy Peterson pointed out that the $60,000 level has historically acted as a strong support zone.

Referencing the Bitcoin Price to Metcalfe Value chart, Peterson suggested there is roughly a 99.5 percent probability that Bitcoin will remain above the $60,000 level for now.

Bitcoin previously fell to around $60,000 on Feb. 6 during a broader pullback from its October all-time high of $126,000 before staging a modest recovery.

For now, the market remains divided between short-term caution and long-term optimism as investors watch whether Bitcoin can maintain support above the current levels.