Definition ∞ Veteran Investor Exit describes a market event where experienced, long-term investors begin to sell off their holdings in an asset. These investors, having navigated multiple market cycles, often exit based on deep market understanding or a belief that the asset’s long-term prospects have diminished. Such an exit can signal a significant shift in market sentiment and potentially precede a broader market downturn. It indicates a loss of conviction among seasoned participants.
Context ∞ In the cryptocurrency market, a veteran investor exit is a notable signal, frequently reported in news, suggesting that seasoned participants are taking profits or reducing exposure to digital assets. This behavior, often detected through on-chain analytics tracking older wallets, can precede periods of market consolidation or downward price action. The actions of these experienced holders are closely watched for insights into the overall health and future direction of the crypto market.