Key Takeaways
- Analyst Scott Melker claims early Bitcoin whales are losing confidence and selling holdings.
- Community members argue that personal reasons, not loss of faith, often drive sales.
- Debate intensifies over the impact of institutional adoption on Bitcoin’s original ethos.
A public statement by analyst Scott Melker has intensified discussions within the Bitcoin community, as he claimed that some of the earliest and most committed Bitcoin holders, often referred to as OGs or whales, are losing confidence and selling their assets amid growing institutional interest.
Reasons behind selling bitcoin
Melker explained that while Bitcoin remains remarkable, it has “obviously been co-opted to some degree by the very people that it was created as a hedge against.”
He noted he was sharing observations rather than his own opinions, but his comments quickly divided the community.
Mike Alfred, Alpine Fox founder, countered Melker’s perspective, saying that individuals sell for many personal reasons that are unrelated to doubt in Bitcoin itself. Alfred stated:
“Everyone dies. At some point, investment returns become irrelevant.”
Recent examples include early adopter Willy Woo, who sold most of his Bitcoin to invest in infrastructure, and PlanB, who moved his holdings to spot Bitcoin ETFs for easier management.
Institutional adoption and bitcoin’s ethos
The debate also touched on the philosophical implications of institutional adoption.
Dave Weisberger argued that widespread adoption is only possible through engagement with legacy financial institutions. Weisberger stated:
“The irony is that there is NO path to a Bitcoin standard without adoption by the public through the legacy institutions controlling the fiat system AND the distribution of OG held Bitcoin to those entities.”
Bitcoin’s inclusivity emphasized
Analyst Crypto Mags weighed in, reminding the community that:
“Bitcoin is for everyone. Everyone INCLUDES enemies, governments, and Wall Street.”
Matt Hougan, CIO of Bitwise Invest, echoed the sentiment, describing Bitcoin as “still pretty revolutionary” and as the first global money “backed, not by the state and the threat of violence, but by logic and community.”
Major whale moves add fuel to the discussion
The renewed debate follows a recent sale of 80,000 BTC by an early investor via Galaxy Digital, marking one of the largest transactions in Bitcoin history.
