Bitcoin exchanges are witnessing 3rd-biggest net daily outflow of 2024

(Coin Telegraph)-28/08/2024

Bitcoin is seeing a fresh round of exchange withdrawals as its price action shifts toward $60,000.

Data from onchain analytics platform CryptoQuant shows preliminary net outflows of 45,000 Bitcoin from exchanges on Aug. 27.

Bitcoin exchanges see major withdrawal spike

Bitcoin bulls may have temporarily run out of steam, but behind the scenes, there is already interest in “buying the dip.”

According to CryptoQuant, Aug. 27 is currently on track to seal the third-largest net exchange outflow of 2024. 

The current total net outflow is just under 45,000 BTC, putting the day behind July 5 and July 16, which saw net outflows of around 52,000 BTC and 68,500 BTC, respectively.

In part of a dedicated Quicktake blog post on the topic, contributing analyst Amr Taha commented:

“Large negative netflows generally indicate a bullish sentiment, as they usually suggest that investors are transferring their Bitcoin off exchanges to potentially hold for the long term, thereby potentially reducing selling pressure in the market.”

The withdrawal is reflected in the overall BTC balance of major trading platforms tracked by CryptoQuant.

Exchanges now hold approximately 2,633,391 BTC as of Aug. 27 — 12.5% less than the 3,011,975 BTC held on Jan. 1

BTC price “looking grim” as sell-off builds

As Cointelegraph reported, the short-term trading landscape is nonetheless frustrating for bulls after several failed attempts to break through $65,000.

While up 40% from its August low, BTC/USD continues to lack the buying power to fuel a return to levels even vaguely near all-time highs.

“$BTC back to $53k?” popular trader Justin Bennett suggested in an X post on the day.

“We’ve had a $63,300 sweep + failure, plus a weekly imbalance at $53k that could serve as a magnet. $61,700 is the trigger. Let’s see.”