The amount of Bitcoin in the hands of exchanges reaches its lowest level since 2019
BTC balances at major crypto exchanges fell to levels never seen before since last year’s bull run, as demand and price for BTC continue to rise. As the month of July ends, the amount of Bitcoin (BTC) held by major cryptocurrency exchanges reached its lowest level since the end of May 2019. At that time, the price of Bitcoin was around $ 8,000 before continuing to its 2019 high of $ 12,967 on July 11, 2019.
Approximately 10% of Bitcoin is held by crypto exchanges
The balance of Bitcoin held by major exchanges fell significantly since mid-March 2020 after the collapse of Black Thursday on March 12 and the subsequent recovery.
According to data from Glassnode, a market analysis resource, there are 2.64 million BTC spread across exchanges as of July 29. Meanwhile, the price of Bitcoin continues to climb and recently hit an annual high of $ 11,400. Lower sales pressure and higher Tether revenue
Furthermore, market analysis firm Arcane Research noted that declining balance on exchanges suggests that users are showing more interest in keeping their Bitcoin long-term, withdrawing their funds from exchanges to control their own private keys. .
This trend results in less selling pressure from BTC holders and comes just two months after the 2020 halving, which halved the amount of freshly mined Bitcoin.
Along with the recent surge in Tether’s currency flows (USDT), which peaked in 2020 yesterday, and the overall supply now exceeding $ 10 billion, the number of digital dollars waiting to be used to buy BTC is higher. never.
The leading cryptocurrency has become increasingly attractive due to its reserve of value attributes against US dollar inflation. With another COVID-19 stimulus package underway and what appears to be an overheated stock market, many traders are now seeking the security of hard assets like gold and increasingly in Bitcoin.
Specifically, institutional interest in Bitcoin appears to be rebounding at the speed of light as both Bakkt and CME futures posted record numbers for two consecutive days in volume and open interest. Additionally, Grayscale added another billion to its funds in just 11 days, bringing the total AUM to more than $ 5.1 billion across its entire family of products.
As for the retail market, records were also broken when Deribit, the leading Bitcoin options exchange, recorded record volumes on July 27 with $ 527 million in Bitcoin options traded.
Thus, the crypto asset may finally be ready for another major bull market cycle as Bitcoin’s supply on exchanges declines as retail and institutional interest appears to be on the rise.
This confluence of bullish factors triggered numerous bullish forecasts by industry experts, with some even predicting that this new bullish cycle may be much bigger this time.
“Bitcoin’s next bull run will be dramatically different,” Gemini founder Cameron Winklevoss said July 29.
“Today, there is exponentially more capital, human capital, infrastructure, and high-quality projects than in 2017. Not to mention the very real spectrum of inflation that all fiduciary regimes face in the future. Seat belt!”
Disclaimer: This press release is for informational purposes information does not constitute investment advice or an offer to invest. The views expressed in this article are those of the author and do not necessarily represent the views of infocoin, and should not be attributed to, Infocoin.