Bitcoin enthusiasts have been perplexed lately. Why is the price so stagnant, even with all the hype created by guys like President Donald Trump? The White House has largely been seen as enacting a pro-crypto agenda and even got its first crypto czar in David Sacks, after all. You’d think prices would be soaring. Well, there’s a simple answer, according to a new report from Bloomberg News. And the average, non-wealthy crypto trader probably isn’t going to like it.

According to Bloomberg, the longtime whales, which includes Bitcoin miners, offshore funds, and anonymous wallets held by shady figures, have been dumping their bags over the past year. Who have they been selling to? The institutional players like ETFs and asset managers. Essentially all the people who invested years earlier when the price was much lower are cashing out to people who have a lot of money to play with.

“Underneath the surface, long-dormant whales have been trimming positions just as institutions ramp up their buying. And this switchover is gradually recasting Bitcoin’s identity from a high-octane trade to a slow-burn allocation,” as Bloomberg puts it.

The price of Bitcoin is currently sitting just below its all-time high of $112,000 ($109,500 as of this writing) and has refused to break out of that in any substantial way over recent months. Bloomberg cites 10x Research which notes that about 500,000 Bitcoin have been sold over the past year, getting snatched up by those institutional players. In fact, it’s now estimated that institutions control about a quarter of all Bitcoin out in the world, quite a shift since Bitcoin ETFs were just approved by the SEC as recently as January 2024.

What does all of this mean for the future? No one knows for sure. But it’s entirely possible that those huge swings in price that everyone became accustomed to during Bitcoin’s first decade and a half in existence are going to settle down for an extended period of time. The big appeal of cryptocurrencies like Bitcoin has historically been the ability to see tremendous gains in a short period of time. But if that slows down, the crypto markets become much less appealing to those who are looking for that gambling rush.

But there are plenty of people who are optimistic, including 10x Research, writing on X, “The key narrative behind Bitcoin’s rebound since late April hasn’t just held—it’s gained fresh support. Following bullish setups in December, January, May, and June, Bitcoin is once again attempting to break above the critical $110,000 level.”

As CoinDesk notes, crypto traders are signalling things could also get rough for Bitcoin in the near future. It looks like a lot more people are interested in shorting Bitcoin these days. But the crypto news outlets point out that doesn’t mean the price will necessarily decline. It’s entirely possible those folks could be in for a short squeeze. But if there is a big sell-off in the coming months it’ll be easy to look back and point to the people who got it right: All those whales who sold to institutional investors who are now left holding the bag.