Data on the chain show that the stock markets have witnessed the net Bitcoin outflows due to the latest volatility, a sign that can be positive for the price of BTC.
Bitcoin Exchange Netflow has been negative lately
According to data from the Market Intelligence platform IntotheblockBitcoin recently left trade fairs. The on-chain statistics of relevance here is the “exchange network flow”, which measures the net amount of BTC that comes in or is associated from the portfolios associated with all centralized exchanges.
When the value of the indicator is positive, it means that the investors put net deposits of the cryptocurrency in these platforms. Since one of the main reasons why holders transfer their tokens to exchanges is for sales-related purposes, this type of trend can have a bearish impact on the BTC price.
On the other hand, the metric suggests under the zero suggests that the outflows overwhelm. In general, investors decrease their coins in self -coasts when they intend to hold on in the long term, so that such a trend for the active bullish can prove to be.
Now here is a graph that shows the trend in the Bitcoin Exchange Netflow last week:
As is visible in the graph above, the Bitcoin Exchange Netflow saw a peak in the positive region on the 27th last month, but the metric has since remained in the negative region.
This trend has maintained despite the fact that it has actively recently observed volatility in both directions. So it seems that the investors are still bullish about the cryptocurrency.
“Despite the recent market anxiety, traders have shown conviction in BTC, with almost $ 900 million to Bitcoin from fairs in the last 7 days,” the analysis company notes.
Although the influx of the exchange can be Bearish when it comes to volatile assets such as BTC, the same does not keep where in the case of stablecoins, digital assets that have linked their value to Fiat.
Usually investors who keep these coins are ultimately planning to invest in the volatile side of the market. As soon as they feel that the time has come, they deposit in the stock exchanges to exchange to the tokens of their choice, giving them a buying pressure for their prices.
As such, an increase in the intake of stablecoin can be a positive sign for Bitcoin and other cryptocurrencies. This trend recently developed in the sector, as an analyst has noticed in a cryptquant quicktake after.
As shown in the graph above, the Binance Stablecoin Exchange Reserve, a metric that keeps track of the total number of this Fiat-bound tokens in the wallet of the Binance platform, recently jumped to a new all-time high (ATH).
BTC price
Bitcoin is unable to retain recovery because the price has fallen to $ 88,600.
