Several cryptocurrency exchanges have experienced significant efflux of Bitcoin (BTC) from their platforms in the last few weeks, a move that suggests sellers may be going out of market.
Bitcoin Price Returns to Under $70K
According to technical analyst Ali Martinez, approximately 22,647 Bitcoin were withdrawn across crypto exchanges in the past week. By this figure, a total of $1.57 billion has exited these digital asset trading platforms. These coins are probably leaving the centralized exchanges for storage in other platforms in what might be considered a bullish move.
Approximately 22,647 $BTC, worth over $1.57 billion, were withdrawn from #crypto exchanges in the past week! pic.twitter.com/IXxFXfECYG
— Ali (@ali_charts) June 8, 2024
This new development comes on the wheel of a significant dip in the price of the flagship cryptocurrency. At press time, Bitcoin was trading at $69,326.16 after a 2.35% drop in value within the last 24 hours. The coin recently soared above $70,000, causing excitement amongst investors and crypto enthusiasts. However, it suddenly began a bearish slump on Friday after the release of US jobs data.
Per the data, the United States added 272,000 jobs in May, more than the market expectations, while the unemployment rate soared to 4%.
The coin’s price dip is also suspected to be a function of a decrease in GameStop’s share price, which has had a negative impact on the sentiment in the cryptocurrency market. Bitcoin Dominance metric, an indicator of the percentage of the total cryptocurrency market capitalization that belongs to BTC is looking good. This shows that while Bitcoin price is down and going through a retracement, the coin is still relatively performing better than other digital currencies.
Is Bitcoin Headed Towards a Bear or Bull Season?
The metrics “Crypto Fear & Greed Index” usually shows the market sentiment of digital assets.
This metrics has decreased by 1.28% to about 77 and this suggests that the market sentiment is still in the ‘Greed’ territory. It is worth noting that extreme greed is usually the last phase of a bull market and it appears that BTC is presently on track to hit this level.
It is not yet clear where the Bitcoin leaving centralized exchanges are headed but the increase in the Bitcoin holdings of investment asset management firms are worth acknowledging. Since the launch of spot Bitcoin ETFs, BlackRock has seen a huge rise in the volume of Bitcoin that it holds.
In just five months of trading, BlackRock’s IBIT has recorded over 300,000 BTC in Assets Under Management (AUM).
Read More: Binance Hits 200 Million Global Users, Sights 1 Billion Target
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Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on Twitter, Linkedin
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
