The Binance Whale Ratio has seen a very steep increase, which suggests a change in mindset among Bitcoin traders. The recent increase in the metric indicates that traders with large amounts of Bitcoin are looking to increase selling pressure on the Bitcoin market as it recovers.
Rising Whale Activity Signals Selling Pressure
According to recent on-chain data, whale behavior on Binance has changed markedly following the recent market dip on October 10. The EMA, or seven-day Exponential Moving Average, of the Exchange Whale Ratio - which shows the proportional relationship between large transfers and total inflows of Bitcoin - has increased quite significantly the last two weeks.
From October 12 to October 25, the Whale Ratio EMA increased from about 0.33 to 0.41. This consistent increase over several days indicates that large Bitcoin transfers (both in terms of exchanges and U.S. dollar value) to Binance are gaining pace, a sign whales may be preparing to sell into strength.
Historically, these types of patterns have occurred during positive market sentiment, and they imply large holders may be adapting to retail demand by harvesting profits. The consistent increase in the Whale Ratio EMA implies an increasing level of sell-side liquidity that is likely to put pressure on the continuation of the current rally.
According to the latest on-chain data shared by CryptoQuant analysts, the ongoing whale inflows could reflect profit-taking behavior rather than accumulation. This scenario has previously preceded sharp corrections or extended consolidation phases across major exchanges.
Historical Trends Suggest Potential Volatility Ahead
Market history supports caution during periods when whale transactions increase while prices trend higher. In several previous cycles, a consistent rise in the Whale Ratio EMA has been followed by abrupt reversals or heightened volatility.
Bitcoin’s steady climb in October coincides with this rising ratio, creating a divergence between price action and whale activity. Analysts interpret this as a potential supply wall forming on Binance, where large holders could absorb bullish momentum through steady sell orders.
While short-term traders may view recent gains as a continuation of recovery, data-driven observers note that whale movements often precede shifts in sentiment. The present trend resembles earlier phases when strong rallies faced resistance due to concentrated sell activity from large accounts.
If this pattern persists, Bitcoin’s current upward momentum may slow as market liquidity adjusts to increased exchange inflows from whales. For now, the Binance Whale Ratio remains a closely watched signal that the rally could encounter growing pressure from profit-taking participants.