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Заголовок Bitcoin Bullish Signal: Exchange Depositing Addresses Now Lowest Since 2016
Дата 20240917

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Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin Bullish Signal: Exchange Depositing Addresses Now Lowest Since 2016

Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin Bullish Signal: Exchange Depositing Addresses Now Lowest Since 2016

by Keshav Verma

3 mins ago

in Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin News

0

On-chain data shows the Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin addresses depositing to exchanges have
continued their decline recently, a sign that could be bullish for the price.

Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin Exchange Depositing Addresses Now At Lowest Since 2016

As explained by an analyst in a CryptoQuant Quicktake post , the Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin
Exchange Depositing Addresses metric has plunged recently. The Exchange
Depositing Addresses refers to an indicator that keeps track of the
total number of unique addresses making inflow transactions to exchanges.

When the value of this metric is high, it means many users are making
transactions to wallets associated with centralized exchanges. As one of the
main reasons investors may deposit to these platforms is for selling-related
purposes, this trend can have a bearish impact on the asset.

Related Reading: Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin Hashrate Plunges 10% After Setting ATH, But Why?

On the other hand, the low indicator suggests not many investors are
interested in depositing their coins into the custody of exchanges, which can
be a bullish development.

Now, here is a chart that shows the trend in the Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin Exchange Depositing
Addresses over the last few years:

Looks like the value of the metric has seen a decline recently | Source:
CryptoQuant

As is visible in the above graph, the Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin Exchange Depositing Addresses
have declined overall since the end of 2021, suggesting that the appetite for
using these platforms has been down.

The indicator briefly broke its downtrend during the rally to the new price
all-time high (ATH) earlier in the year due to the surge s attention.

However, since the asset has topped out and fallen to its consolidation, the
Exchange
Depositing Addresses has resumed its downward trajectory. It
hasn t just gone back to the downtrend; it has seen a notably sharp
decline than before.

Thus, it would appear that the appetite for selling through exchanges may have
plunged among the investors. This could naturally prove to be bullish for the
cryptocurrency• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта s price.

However, the significantly sharper downtrend this year may also have another
contributing factor: the presence of the spot exchange traded funds (ETFs) .
The spot ETFs finally got approved by the US Securities and Exchange
Commission
(SEC) at the start of this year and have since gained popularity.

The spot ETFs provide an alternative means of exposure to Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin in a mode
familiar to traditional investors. Thus, many investors who never understood
how cryptocurrency• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта wallets and exchanges work may have switched to these ETFs.

Related Reading: When Does The Next Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin Bull Run Start? Analytics Firm
Says Watch For This Signal

This switch may have been masked by the rally in the early months of the year,
as activity related to the asset had spiked across the board. Still, since the
hype has died off, it has become apparent that the exchanges have been losing
relevance in the Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin sector.

BTC Price

At the time of writing, Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin is trading at around $58,000, up more than 2%
over the past week.

The price of the asset appears to have plunged over the last day | Source:
BTCUSD on TradingView

Featured image from Dall-E, CryptoQuant.com, chart from TradingView.com

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