Bitcoin's Exchange Inflow Surge: Potential Selloff Risk

user avatar

by Giorgi Kostiuk

2 years ago

In recent days, there has been a significant increase in bitcoin flows to centralized exchanges, which might indicate a potential selloff.

Rise in Bitcoin Inflows to Centralized Exchanges

According to IntoTheBlock, starting December 1, the net inflow of bitcoin to exchanges surged significantly. The amount of funds increased from a net outflow of $69 million to a net inflow of $326 million. Bitcoin net inflow accounted for $230 million on December 3. Over $562 million in bitcoin entered centralized platforms in total.

Activity of Major Bitcoin Holders

The large holder-to-exchange net flow ratio reached 0.86% on Tuesday, suggesting that whales have been more active than retail holders. The volume of large transactions surged from $38.7 billion to $87.3 billion in bitcoin on Monday, December 2. ITB data shows a total of $169.6 billion in whale transactions over the last seven days.

Analysis shows that large bitcoin transactions have recently increased significantly, indicating potential market changes.

Potential Impact on the Cryptocurrency Market

On-chain data reveals that an 11-year-old whale address with 2,700 BTC, worth over $257 million, transferred its bitcoin holdings to another wallet for the first time since December 2013. This might hint at a selloff due to the substantial returns. The increased exchange inflows could trigger FUD among retail investors, but a spike in whale accumulation might shift market sentiment. The potential U.S. Federal Reserve rate cut in the upcoming meeting could be a major bullish catalyst for Bitcoin and altcoins.

The rise in bitcoin inflows to centralized exchanges and the activity of large holders have the potential to significantly affect the market. Investor sentiment shifts are expected amid potential Federal Reserve rate cuts.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Citigroup Increases Price Targets for Bitcoin and Ethereum

Citigroup has raised its 12-month price targets for Bitcoin to $113,000 and for Ethereum to $3,028, citing stronger activity in crypto markets and ETF inflows.

user avatarGustavo Mendoza

TopNod Introduces Axil Pot APT for Enhanced Onchain Yield Management

TopNod has launched Axil Pot APT, a new onchain yield vault that allows users to earn an estimated 8% APY while maintaining instant liquidity.

user avatarRajesh Kumar

MEXC Expands Guardian Fund with Additional 1,000 BTC

MEXC has added another 1,000 BTC to its Guardian Fund, marking the second major allocation this year.

user avatarMiguel Rodriguez

HANetf and HSBC Launch First GBP EUR-Hedged Bitcoin Products

HANetf and HSBC have announced the launch of the first GBP EUR-hedged Bitcoin products, marking a significant development in the digital asset ecosystem.

user avatarLuis Flores

Goldman Sachs Integrates $100 Billion Treasury Fund with Crypto Institutional Frameworks

Goldman Sachs has announced the integration of its $100 billion Treasury Fund with crypto institutional frameworks, marking a significant development in the digital asset ecosystem.

user avatarArif Mukhtar

UK Financial Conduct Authority Opens Crypto Authorisation Regime

The UK Financial Conduct Authority has formally opened its Crypto Authorisation Regime, marking a significant development in the digital asset ecosystem.

user avatarMaria Gutierrez

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.