The significance, according to the platform, lies in what a growing number of large wallets suggests about how Bitcoin ownership is being distributed.
When more wallets reach that threshold rather than fewer, it points to broader holding patterns among big buyers — reducing the outsized influence that a handful of dominant players can have over prices. “In that sense, it points to less extreme consolidation at the very top,” Santiment said.
That kind of distribution is generally seen as a healthier sign for the market. Fewer extreme concentrations of supply mean fewer single actors capable of moving prices dramatically with one large transaction.
Old Holders Out, New Holders InThere is a catch, though. Reports from Santiment indicate that the total share of Bitcoin supply held by wallets in this category has not actually changed. New wallets are crossing the 100 BTC line, but some long-term holders appear to be selling at the same time.
One group is coming in as another is heading for the exit. “This is why prices have stayed suppressed,” Santiment said. The buying is real, but so is the selling — and right now they are roughly canceling each other out.
Balance May Be ShiftingFear that early Bitcoin holders — people who accumulated coins years ago at a fraction of today’s prices — have been quietly offloading their positions has been building for months. It is widely seen as one of the main reasons behind the sustained price decline.
The 20,000 wallet milestone, if and when it is reached, won’t flip the market overnight. Bitcoin remains well below its peak, and the tug-of-war between new buyers stepping in and old holders stepping out continues to weigh on prices.
But the data suggests the balance may be slowly shifting. Whether that shift is enough to matter — and when — remains an open question.
Featured image from Unsplash, chart from TradingView
