Menu

Categories:

Hot right now:

Follow on:

Coinsurges provides coverage of fintech, blockchain, and Bitcoin, delivering the most recent news and analyses on the future of money. Stay up-to-date with live prices, charts, and trading options for the top exchanges. Keep track of the day's top cryptocurrency gainers and losers, as well as which coins have experienced gains and losses in the past 24 hours.
Trust Coinsurges as your go-to source for all news and updates in the industry.

Menu

Categories:

Hot right now:

Follow on:

Coinsurges provides coverage of fintech, blockchain, and Bitcoin, delivering the most recent news and analyses on the future of money. Stay up-to-date with live prices, charts, and trading options for the top exchanges. Keep track of the day's top cryptocurrency gainers and losers, as well as which coins have experienced gains and losses in the past 24 hours.
Trust Coinsurges as your go-to source for all news and updates in the industry.

Bitcoin Inflow To Exchanges At 2016 Levels, Impact On Price Will Be Low Even If Mt. Gox Sells

Share This Post

Bitcoin briefly shot over $70,000 yesterday before plunging below $69,000 to spot rates. While there are hints of weakness, one analyst on X notes that inflow to exchanges like Binance and OKX is subdued, meaning that users are not keen to sell despite prices tanking and failing to break $72,000.

Bitcoin Inflow To Exchanges Remain Low

The analyst notes that exchange inflows are low at spot rates. As of May 28, exchanges received just 25.9K BTC daily. From historical exchange inflow data from CryptoQuant, the current inflow rate is at the 2016 level. 

BTC exchange inflow | Source: @AxelAdlerJr via X

There was a sharp pick-up in momentum after 2016, but the inflow to exchanges has been shrinking since the beginning of the year. It should be noted that the United States Securities and Exchange Commission (SEC) approved nine spot Bitcoin exchange-traded funds (ETFs) around this time. 

With this product in the United States, some large whales likely decided to convert their coins and hold ETFs instead. In this way, they diverted custody to an approved custodian, depending on the spot Bitcoin ETF issuer they chose.

Mt. Gox Moving BTC: How Will Prices React If They Sell?

While the average inflow to exchanges is at 2016 levels, there might be changes in the coming months. On May 28, Mt. Gox, the defunct crypto exchange hacked in 2014, moved over $9.4 billion of BTC, data from Token Unlocks show.

Mt. Gox moving BTC | Source: Token Unlocks

This unexpected transfer sparked market concerns. Currently, the intention remains unknown. Still, the implications could be dire if they decide to liquidate on exchanges.

Bitcoin price trending sideways on the daily chart | Source: BTCUSDT on Binance, TradingView

Even with this possibility, the analyst argued that BTC’s low average exchange inflow to exchanges would be a timely cushion. Should Mt.Gox creditors decide to sell, the analyst believes the market will easily absorb this sell-off despite increased initial volatility. What this means is that the price impact will be minimal.

Before being hacked and losing over 800,000 BTC, Mt. Gox was a popular Bitcoin exchange. At one point, it commanded over 70% of all global BTC trading volume. In the next few months, victims of the unfortunate hack will be compensated.

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

Bitcoin Price Prediction 2025, 2026 & 2027 : Rekt Capital

The post Bitcoin Price Prediction 2025, 2026 & 2027 : Rekt Capital appeared first on Coinpedia Fintech News After months of sideways movement and uncertainty, Bitcoin has finally made a big move,

UAE Fuel Provider Emarat Launches Crypto Payments With Crypto.com

Emarat, a leading fuel provider in the UAE, has partnered with Cryptocom to launch cryptocurrency payment services at 10 of its fuel stations Emarat, Cryptocom Kick off Naming Rights Program for Fuel

Bitcoin Whale Holdings Jump 41,300 BTC As Institutional Demand Heats Up – Details

As Bitcoin (BTC) pushes past the psychologically important $100,000 milestone, on-chain data suggests that an increasing number of whales – wallets with significant BTC holdings – are

Bitcoin Price Above $100,000: CryptoQuant CEO Says It’s Time To Throw Out ‘Cycle Theory’

CryptoQuant Founder and CEO Ki Young Ju has walked back his bearish prediction after the Bitcoin price broke out above $100,000 This move has taken the entire market by surprise after calls for lower

Is Trump Protecting Binance? US Lawmakers Push DOJ for Clarity

The post Is Trump Protecting Binance US Lawmakers Push DOJ for Clarity appeared first on Coinpedia Fintech News Crypto is no longer just about money or tech anymore, it’s now a big part of

Solana Price Misses Key Target Again as Investors Show Caution, But This $0.20 SOL Rival Won’t Stop Moving

The post Solana Price Misses Key Target Again as Investors Show Caution, But This $020 SOL Rival Won’t Stop Moving appeared first on Coinpedia Fintech News Solana has struggled to reclaim momentum