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Breaking News: Binance Forms New Company In Greece, Moves Forward With MiCA Licensing

Bitcoin Bottoming Phase Was Driven By Large Entities, Glassnode Data Shows

Keshav Verma
Keshav Verma
Last Updated: January 22, 2026 4:00 am
2 mins read
Bitcoin

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On-chain analytics firm Glassnode has pointed out how large entities drove Bitcoin accumulation during the November-December bottoming phase.

Large Entities Accumulated BTC, While Smaller Investors Sold

In a new post on X, Glassnode has talked about the recent Bitcoin investor behavior. “During the November–December bottoming phase, supply accumulation was primarily driven by larger entities, while smaller cohorts were distributing,” noted Glassnode.

To showcase the trend, the analytics firm has cited the Accumulation Trend Score, an on-chain indicator that tells us about whether BTC addresses are accumulating or distributing. The indicator uses two factors to calculate its value: the balance changes happening in the wallets of the investors and the size of the wallets themselves. This means that larger entities have a stronger influence on the metric.

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When the value of the Accumulation Trend Score is greater than 0.5, it means large entities (or alternatively, a large number of small entities) are accumulating. The closer is the indicator to 1.0, the stronger is this behavior. On the other hand, the metric being under the threshold implies that distribution is the dominant behavior among investors. The zero level acts as the extreme point for this side of the scale.

The Accumulation Trend Score can also be separately calculated for specific Bitcoin segments to get a more granular view of behavior. Below is the chart shared by Glassnode, doing exactly this for the various BTC investor groups.

Bitcoin Accumulation Trend Score
Looks like distribution has been dominant among the smaller entities | Source: Glassnode on X

As is visible in the graph, the Bitcoin Accumulation Trend Score was close to a value of 1.0 for 10,000+ BTC investors during the bottoming period that followed the price crash in November. The investors in this wallet range are often dubbed as “mega whales,” corresponding to the largest of entities on the network.

The normal whales, holding coins in the 1,000 to 10,000 BTC range, started accumulating a bit later, as their Accumulation Trend Score turned blue in December. The whales have since maintained net buying, but the mega whales switched to a neutral behavior around mid-December.

Interestingly, while the whales have been showing accumulation, the same hasn’t been true for the smaller investor groups. All cohorts carrying less than 1,000 BTC have displayed varying degrees of distribution during the last few weeks, with the 1 to 10 coins group in particular showing a near-perfect selling behavior.

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“This divergence appears to be driven in part by exchange-related wallet reshuffling, and also by large holders buying the dip,” explained the analytics firm. It now remains to be seen how long the distribution from smaller Bitcoin entities will continue.

BTC Price

Bitcoin has been falling since the week started as its price is now trading around $88,900.

Bitcoin Price Chart
The trend in the price of the coin over the last five days | Source: BTCUSDT on TradingView
Featured image from Dall-E, chart from TradingView.com
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Keshav Verma
Keshav Verma

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

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Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

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