Bitcoin Bullish Signal: Exchange Outflows Spike Up

Share This Post

On-chain data shows the Bitcoin exchange outflows have spiked up recently, a sign that could prove to be bullish for the crypto’s price.

Bitcoin Exchange Netflow Has Observed Deep Red Values In Recent Days

As pointed out by an analyst in a CryptoQuant post, investors have withdrawn more than 60k BTC from exchanges recently.

The relevant indicator here is the “all exchanges netflow,” which measures the net amount of Bitcoin entering or exiting wallets of all centralized exchanges. The metric’s value is simply calculated by taking the difference between the inflows and the outflows.

When the value of this indicator is greater than zero, it means there are more inflows taking place in the market than outflows. Such a trend, when prolonged, can be bearish for the price of the crypto as it may be a sign of dumping from investors.

On the other hand, negative values of the netflow suggest investors are taking out a net number of coins right now. This kind of trend can indicate buying pressure in the market, and hence could be bullish for BTC’s value.

Now, here is a chart that shows the trend in the Bitcoin all exchanges netflow over the last month:

The value of the metric seems to have been below zero in recent days | Source: CryptoQuant

As you can see in the above graph, the Bitcoin all exchanges netflow has observed some negative spikes during the last three days.

These downward surges in the indicator’s value have amounted to more than 61k BTC leaving exchange wallets, the largest stack of withdrawals in months.

The crypto’s price has been struggling hard for many months now, so this kind of fresh demand could be constructive for the coin, and help it turn things around, at least temporarily.

BTC Price

At the time of writing, Bitcoin’s price floats around $19.1k, up 1% in the last seven days. Over the past month, the crypto has lost 5% in value.

Below is a chart that shows the trend in the price of the coin over the last five days.

Looks like the value of the crypto has been mostly trending sideways during the last few days | Source: BTCUSD on TradingView

Bitcoin hasn’t seen much price activity at all recently as the value of the crypto has been painting a flat curve. One exception was the surge to $20k a couple of days back, but it wasn’t long before the spike died down and BTC returned to its trend of consolidation.

Featured image from Dylan Leagh on unsplash.com, charts from TradingView.com, CryptoQuant.com

Read Entire Article
spot_img

Related Posts

XRP Price Holds Support – Indicators Show Risk of Downside Break

XRP price is holding gains above the $060 zone The price could gain bearish momentum if there is a close below the $0570 support zone XRP is facing a major hurdle near the $06580 zone The price is

Tether Formally Announces a Shift Towards Open-Source AI

Tether, one of the largest cryptocurrency-based companies, has announced a formal expansion into AI, looking to develop open-source models and setting standards in this new industry For this task,

“The Colosseum” – GAIMIN’s Web3 Membership Program for Esports Fans

The world of esports remains an ever-growing industry, where competitive gaming takes center stage Gaimin Gladiators ( wwwgaimingladiatorsgg ), GAIMIN’s (wwwgaiminio) esports team, is making waves

Ethereum Price Gearing For Another Lift-Off to $4K: Increase Isn’t Over Yet

Ethereum price is holding gains above the $3,500 zone ETH could gain bullish momentum if it clears the $3,680 resistance zone in the near term Ethereum retested the $3,450 and is currently moving

$62 Million Munchables Hack: Rogue Developer Returns All Funds, No Ransom Demanded

Web3 gaming app, Munchables, announced on March 27 that an individual who exploited the system agreed to return the stolen funds without a ransom demand This announcement came just hours after a

Cleanspark’s Stock Tumbles 10% After Plans to Sell $800 Million in Shares

Bitcoin miner Cleanspark’s stock plunged 10% in after-hours trading after revising its at-the-market (ATM) offering agreement to sell up to $800 million of its stock, a decision that would
- Advertisement -spot_img