- BTC continues to trade above $30,000 despite recent declines.
- More BTCs are flowing to exchanges as positive exchange dominates Netflow.
The recent rise in the price of Bitcoin [BTC] has brought relief to certain investors, especially those who purchased it at a lower price than the current offering. Given Bitcoin’s continued upward trend, it is worth examining how the exchange flow has responded and what impact this has had on network costs.
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Bitcoin maintains a price range of $30,000
In the past two days, the price of Bitcoin has undergone a slight decline as shown by the daily timeframe chart. However, according to the graph, this decline remained below 2%.
At the time of writing, this downward movement had stopped and there was a modest increase of less than 1%. Notably, Bitcoin was still trading at around $34,000 and maintained its position above $30,000 despite the recent dip.
Source: TradingView
What is particularly striking in the current price development of BTC is the strong bullish sentiment, as evidenced by the Relative Strength Index (RSI). According to the latest available data, the RSI value was still in the overbought zone. This price development has also led to significant shifts in fees and alternating current.
Bitcoin Cost Analysis
According to data from Crypto feesthe recent rise in the price of Bitcoin had a positive effect on network costs. The data showed that network costs increased significantly between October 22 and October 24, crossing the $6 million mark.
To provide context, fees remained consistently below $5 million throughout September, making this increase to $6 million the largest in nearly two months.
However, at this time, total fees are down slightly to over $4 million, following a recent decline. This spike in fees was a clear indication of increased trading activity due to rising price trends.
The inflow dominates the exchange flow of BTC
Based on Exchange Netflow data provided by CryptoQuantBitcoin has experienced an increase in asset inflows on the exchanges since the start of its uptrend. At the time of writing this, the flowchart showed a positive flow of 175 BTCs, meaning more assets coming into the exchanges compared to the assets going out.
Source: CryptoQuant
How much are 1,10,100 BTCs worth today?
Furthermore, this suggested that with the rise in the price of Bitcoin, more holders have taken advantage of this rise and sold their holdings to secure profits.
Furthermore, the continued consistency of this flow, coupled with the price increase, has contributed to the higher network costs recently observed.