Bitcoin exchange outflows see biggest daily spike since September 2021

Share This Post

Almost 30,000 Bitcoin leaves major exchanges in a single day as buyers copy miners in taking the BTC supply off the market.

Bitcoin (BTC) investors are voting with their wallets as one-day outflows from major exchanges near 30,000 BTC. 

Data from on-chain analytics firm CryptoQuant shows that on Jan. 11, 29,371 BTC left exchange order books — the most since Sep. 10.

The four-month high in outflows corresponds to short-term optimism returning on Tuesday as BTC/USD bounced and maintained levels above $42,000.

The pair subsequently went on to hit local highs of $43,150 before consolidating, this nonetheless a different turn of events to the widely-predicted cascade towards $30,000.

While such an outcome remains a topic of debate, buyers seem comfortable entering the market above $40,000.

For context, even the bounce which sparked the run to all-time highs at the end of September failed to produce as much buyer uptake as Tuesday.

Bitcoin exchange netflow chart. Source: CryptoQuant

“Volumes are thin. That means the market can have huge moves up or down easily,” Samson Mow, CEO of Blockstream, commented on the status quo:

“Given that we had a big move down already, and everyone is buying like no tomorrow, I’d say the next move is up.”

CryptoQuant tracks a total of 21 exchanges for its order book data. Last week, separate data focused on what one analyst described as a “crazy” imbalance between bids and asks, indicating that bears were finally beginning to tire of selling.

Buyers get bolder

Spot buyers were previously the main cohort missing from interest in BTC at current price levels.

Related: Bitcoin returns to $42K as bets start favoring ‘short squeeze’ higher for BTC

As Cointelegraph reported, miners continue to add to their reserves at an increasing pace this year, with long-term holders steadfast in their resolve not to sell.

Highlighting a bullish trend in the Bitcoin taker buy/sell ratio, CryptoQuant contributor IT Tech revealed a similar situation unfolding on derivatives markets.

The metric refers to the ratio of buy and sell volumes from takers on derivatives platforms. A value below 1 implies bearish sentiment, and while that is currently the case, the direction is up.

“If will cross 1 then we should have Bullish sentiment again and it chance to price trend reversal,” IT Tech summarized in one of CryptoQuant’s “Quicktake” posts Wednesday.

“Personally I am preparing to final bull run which will come sooner or later.”

Bitcoin taker buy/ sell ratio vs. BTC/USD annotated chart (screenshot). Source: CryptoQuant

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

2021 Bull Run Déjà Vu? Altcoin Market Gains Momentum

As bitcoin catches its breath on the sidelines, a wave of digital currencies is charging ahead, making big moves Meanwhile, the infamous Altcoin Season Index is climbing, signaling exciting times for

Bitcoin Correction Looms As Analyst Predicts Fall To $85,600

The price of Bitcoin (BTC)  rose by 799% in the past week to reach a new all-time high of $99,655 on November 22 Thereafter, the maiden cryptocurrency has experienced a slight retracement in the

Ripple CEO Predicts US Crypto Boom, 76% of KOLs Shilled Worthless Meme Coins, and More — Week in Review

Ripple CEO predicts US crypto boom, study shows 76% of KOLs promoted worthless meme coins, Coinbase CEO strongly endorses DOGE, and more in this Week in Review Week in Review Ripple CEO Brad

Bitcoin Taker Buy/Sell Ratio Surges On Major Exchanges — Who Is Buying?

The price of Bitcoin has somewhat cooled off, struggling to reach the highly-coveted $100,000 mark, after an intense bullish run all week long However, investors appear to be undeterred by the

Bitcoin Price Is Decoupling From Gold Again — What’s Happening?

Bitcoin has often been referred to as the “digital gold,” as it has proven to be a unique asset class and, more importantly, a reliable store of value over the years While gold surely outpaces

AI, Blockchain Integration Can Boost Trust, Prevent Misuse, Expert Says

Integrating AI with blockchain can enhance AI’s trustworthiness and revolutionize various sectors AI Developers Should Prioritize User Control Stacey Engle, co-founder and CEO of Twin Protocol,