Saturday, May 21, 2022
Home Crypto News Market Bitcoin Exchange Outflow Volume Surges Above 96,000 BTC Monthly Amid Widespread Accumulation

Bitcoin Exchange Outflow Volume Surges Above 96,000 BTC Monthly Amid Widespread Accumulation

- Advertisement -
Follow-Us-On-Google-News

Cryptocurrency traders are transferring their Bitcoin out of the exchange.



The number of Bitcoin (BTC) transferred out of cryptocurrency exchanges in the past few months has increased, and crypto analytics data provider Glassnode reports today. 

According to data shared by Glassnode, at least 96,200 BTC have flowed out of cryptocurrency exchanges in the past months. 

Notably, the last time this large amount of BTC was transferred out of exchanges was in March 2020, when the cryptocurrency market was hit with a liquidity crisis. 

“Aggregate exchange outflows of this magnitude have only been seen on a handful of occasions throughout history, with most being after the March 2020 liquidity crisis,” Glassnode reports. 

 

Factors Contributing to Massive BTC Exchange Outflow 

Although it is not clear what could have led to the large exodus of BTC from crypto exchanges to private wallets, it is obvious that several crypto traders only flocked to exchanges to buy Bitcoin for long-term holding. 

Recall that whale traders took advantage of Bitcoin’s price dip recorded on several occasions, including the declaration of a full-scale invasion of Ukraine by Russian president Vladimir Putin in February. 

At the time, the price of Bitcoin dipped to $32,000, prompting Bitcoin whales to swing into widespread accumulation

In another development, the Luna Foundation Guard (LFG), a nonprofit organization that oversees the Terra blockchain, embarked on a Bitcoin purchase spree, which will act as a reserve for the UST stablecoin. 

So far, the company has acquired over 30,700 BTC, with the vast majority purchased from cryptocurrency exchanges and sent to private wallets. 

Bitcoin Key Support And Resistance Levels

Meanwhile, on-chain data of activities on cryptocurrency exchanges show that Bitcoin is facing a stiff supply barrier between $46,250 and $47,600. 

This is an important resistance level to cross for the world’s largest cryptocurrency because more than 2.36 million addresses bought a combined 1.48 million Bitcoin. 

Aside from resistance to Bitcoin, significant support for BTC is $41,500. As Per Intoblock data, BTC price at $41,500 is the level where 1.16 million addresses hold 850,000 Bitcoin. 

btc holding

- Advertisement -

Disclaimer

The content is for informational purposes only and may include the author’s personal opinion, and does not necessarily reflect the opinion of TheCryptoBasic. All Financial investments, including crypto, carry significant risk, so always do your complete research before investing. Never invest money you cannot afford to lose; the author or the publication does not hold any responsibility for your financial loss or gains.

Lele Jima
Lele Jima is a cryptocurrency enthusiast and journalist who is focused on educating people about how the nascent asset class is transforming the world. Aside from cryptocurrency-related activities, Jima is a lover of sports and music.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -

Recent News & Articles

Shiba Inu Lead Developer Says Things Will Get Interesting Next Week 

Something Interesting coming for Shiba Inu community. window.coinzilla_display = window.coinzilla_display || ; var c_display_preferences...

Bill Gates Says He Is Not Invested In Crypto Because It is Valueless to Society 

The former world's richest person does not have any love for crypto. Bill Gates, the co-founder of popular tech company Microsoft disclosed that he does...

Binance CEO Says UST and LUNA Crash Could Have Been Avoided If Terra Used Its Bitcoin Reserve Earlier 

CZ is still not happy with the way Terra handled last week’s situation as he believes the crash could have been avoided if the...

Tether CTO: LUNA And UST Were Flawed In Design But Not A Rug Pull

The team at Terra has been struggling to save LUNA and UST after a sudden crash that sent the price of LUNA spilling down...

Two Major Indicators Suggest Bitcoin (BTC) Possible Price Rebound Above $35,000 

There is a likelihood that Bitcoin's price will rebound soon as it currently sits around major support levels.   Following last week’s market turmoil that...

Majority Of Terra Community Wants New Luna Chain Without UST

The Terra community has been deliberating on the way forward after the crypto lost over 95% of its ATH value. Many in the crypto...

Can Crypto Payments Finally Take Off?

Helio, the Web3 payments company, launched its beta this week to offer a much-needed path for faster adoption of crypto payments. Its complete Web3...

Subscribe To Our Newsletter

Get Updated with All The latest Crypto News, Articles, Reviews, Analysis and much more. Delivered Every Monday.