The cryptocurrency market is very sensitive to the reactivation of wallets that have been inactive for a long time. In my opinion, the more old wallets are reactivated, the more cautious investors will be about investing in Bitcoin, as such wallets account for more than 10% of the total Bitcoin supply. And if they start to take profits at the same time, it could deal a serious blow to the cryptocurrency market, and Bitcoin could lose its reputation among cryptocurrency investors.
That could cause panic and shake up in the market but in my opinion, as long as there is always enough liquidity for all those trades. There are always people willing to buy all those bitcoins, especially if the buyers are large institutions or companies. That only increases investor confidence instead of decreasing.
The market is maturing and I think news about whales selling large amounts of Bitcoin will no longer cause much panic as it is simply a transfer of bitcoin between whales. While the old whales in the market are leaving, traditional whales like BlackRock, MicroStrategy, Fidelity Investments are jumping in, so there is nothing to fear.