Whales go shopping and $1.2 billion in bitcoin leaves exchanges in a single day
While sardines despaired as they saw bitcoin plummeting below $40,000 earlier in the week, whales went to exchanges to buy the market-leading cryptocurrency’s slump.
Charts from blockchain data firm CryptoQuant show that a total of 29,371 BTC left cryptocurrency exchanges on Tuesday (11), the largest BTC outflow recorded since September 10, 2021.
The amount of assets coming out of exchanges was equivalent to about $1.2 billion, taking into account that the price of bitcoin ranged between $41,000 and $42,000 on the day the milestone was hit.
CryptoQuant’s estimate takes into account the difference between coins entering and exiting exchanges (inbound – outbound = net flow). When this metric rises, it means that there is increased selling pressure, with more cryptocurrencies returning to trading platforms.
When the opposite happens and the net flow is in the negative, it means that these coins are being bought and withdrawn from brokers for the personal custody of investors.
Interestingly, after this massive withdrawal of assets from exchanges — and with the little push from the Federal Reserve that cheered up the financial market by discarding the interest rate hike for March — the price of bitcoin began to rise.