Bitcoin exchange capital outflows hit biggest one-day peak since September 2021

Time:2022-01-15 Source: 769 views Trending Copy share

Nearly 30,000 BTC left major exchanges in a single day as buyers followed miners to withdraw BTC supply from the market.

Bitcoin (BTC) investors are voting with their wallets as single-day outflows from major exchanges approach 30,000 BTC.

Data from on-chain analytics firm CryptoQuant shows that on Jan. 11, 29,371 BTC left exchange order books — the most since Sept. 10.

The four-month high in outflows corresponds to a return of short-term optimism on Tuesday, as BTC/USD rebounded and held above the $42,000 level.

The pair then hit a local high of $43,150 before consolidating, but this was not the same as the widely predicted knock-on effect towards $30,000.

While such an outcome remains a matter of debate, it appears buyers could enter the market above $40,000.

For context, even the late-September rally has failed to generate the massive buyer effect on Tuesday.

Bitcoin exchange capital outflows hit biggest one-day peak since September 2021

“Volumes are sparse. That means the market can easily go up and down hugely,” Blockstream CEO Samson Mow said of the status quo:

"Given that we've already had a big dip and everyone can't wait to buy, I think the next move for the market is up."

CryptoQuant tracks a total of 21 exchanges for its order book data. Last week, separate data focused on a "crazy" imbalance between bids and asks, as one analyst described it, suggests the bear market is finally starting to tire of the selling.

Buyers are more bold

Spot buyers were previously the main group with a lack of interest in BTC at current price levels.

As Cointelegraph reported, miners have continued to add to their reserves at an increasingly rapid rate this year, while long-term holders have held on firmly.

IT Tech, a contributor to CryptoQuant, revealed a similar situation in the derivatives market while highlighting the bullish trend in the buy/sell ratio of Bitcoin holders.

This indicator refers to the ratio of the buying and selling volume of the order maker on the derivatives platform. Values below 1 imply bearish sentiment, and while this is currently the case, the direction is upward.

"If 1 will be crossed, then we should have bullish sentiment again, which has the potential to lead to a price trend reversal," the IT technology firm concluded in a "Quicktake" article for CryptoQuant on Wednesday.

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