Bitcoin (BTC) could be on the brink of a major retail sale as exchange inflows soar to nearly 3-1/2-year highs.
Data from the CryptoQuant on-chain analytics platform shows that users of 21 major exchanges sent coins to their wallets en masse on June 14.
Major exchanges wipe out 83,000 BTC in a single day
When the BTC/USD pair fell to lows of $20,800, traders seemed to panic and, despite a pullback to over $23,000, few seemed willing to believe the worst was over.
Since then, the spot price action has again approached $21,000.while 24-hour exchange inflows reached 59,376 BTC.
According to CryptoQuant data, this is the largest daily inflow since November 30, 2018. On that day, exchanges recorded 83,481 BTC net inflows.
On May 9, 2022 ended with 29,082 BTC in net inflows for the platforms monitored by CryptoQuant.
Concerns may now turn to whether even more sell-side pressure will emerge in bitcoin markets in the coming days and weeks.. About a month after the 2018 influx, the BTC/USD pair hit its cycle bottom of $3,100, down 84% from its previous all-time high of $20,000.
As Cointelegraph recently reported, Analysts have mixed opinions when it comes to whether bitcoin will repeat the trend of this cycle. An 84% decline would mean a fund of just $11,000.
In a separate analysis of the price situation, statistician Willy Woo concluded that macro market movements would dictate bitcoin’s bottom.
“I think it’s simpler than this. I think we will find a bottom when the macro markets stabilize,” read part of a Twitter thread. that contemplated various price support theories.
FTX and Binance record a large number of sales
Analyzing who has been selling so far, CryptoQuant CEO Ki-Young Ju pointed to derivatives traders and the largest global exchange, Binance..
Ki pointed out that the largest number of days worth of destroyed coins – idle coins that become active after a period of inactivity – came from those specific locations.
“This selling pressure came from Binance and FTX”, wrote in a Twitter thread on June 13:
“The CDD of BTC exchange entries (Coins Days Destroyed, or days of destroyed coins) indicates old deposits of whales. Binance CDD Inflow hit the high for the year before the crash.”
Ki added that this is in contrast to other whales, which have been comparatively calm throughout the price turmoil.which began with the implosion of Terra in May.
Data from on-chain analytics resource Coinglass, meanwhile, shows the extent of the downtrend in FTX, especially in recent days..
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