The average monthly inflow of Bitcoin to the cryptocurrency exchange Binance has decreased to 5,700 BTC, the lowest level since 2020. According to the analytical platform CryptoQuant, this level is even lower than the averages recorded during the previous bear market.
This is reported by Business • Media
Comparison with Previous Periods and Possible Reasons
Experts indicate that the current inflow of Bitcoin on Binance is three times lower than during the period when the cryptocurrency first reached the $100,000 mark. In comparison, during the collapse of the FTX exchange in 2022, this figure was around 24,000 BTC, while the average monthly inflow on Binance typically amounted to approximately 12,000 BTC.
Specialists believe that this decrease in Bitcoin inflows may signal a change in market behavior – investors are increasingly favoring asset retention over selling. In particular, against the backdrop of Bitcoin’s price rising above $105,000, this may indicate a weakening of selling pressure.
Analysts’ Assessment and Market Prospects
“In the current environment, the sharp decline in inflows clearly indicates that the market has entered a holding phase. Selling pressure has evidently weakened, and the data suggests an increasing tendency for long-term asset retention, which could lay the groundwork for short-term growth,” the report states.
Previously, CryptoQuant experts reported a significant increase in buying activity among American investors. The decrease in Bitcoin inflows to major exchanges may affect the balance of supply and demand and create conditions for further strengthening of the first cryptocurrency’s price.