Long-term Bitcoin holders could be selling their holdings to shift into exchange-traded funds (ETFs) and to diversify their crypto portfolios, says Dr. Martin Hiesboeck, the head of research at cloud-based financial service platform Uphold. 

“There are several reasons why OG crypto holders are selling,” Hiesboeck

Several long-term Bitcoin whales have also

“This maturity is accelerated by events like the launch of spot Bitcoin exchange-traded funds, which bring in large, institutional capital that is generally less volatile than retail-driven speculative flows, thus dampening extreme price swings and contributing to a lower, steadier growth rate,” Hiesboeck said. 

“The goal for a maturing asset is for its volatility to also decline, which some sources suggest is happening, to maintain a competitive risk-adjusted return.” 

Related: BTC and crypto sell-off reminiscent of post-2000 dot-com crash: Analyst

Macro analyst Jordi Visser suggested earlier this month that Bitcoin is in an initial product offering phase, with original holders rotating out and new traders scooping up the tokens, thereby widening distribution.

Next phase isn’t about Bitcoin versus altcoins 

Hiesboeck also argues the distinction between Bitcoin and altcoins is no longer relevant, as the space is ever-evolving, and it would be better to let go of old rivalries and focus on projects “that will change the world and avoid those that will likely fail.” 

“We are in an exciting tech space with room for many projects, it’s not a question which football team you support,” he said. 

“Do not be alarmed by some OG’s selling parts or all of their holdings. They are just growing out of adolescent maximalism.” 

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