#Bitcoin exchange reserves fall to 7-year low#
Hot Topic Overview
Overview
Recently, Bitcoin exchange reserves have fallen to their lowest level in nearly seven years, indicating that institutional investors are continuing to buy Bitcoin. According to CryptoQuant data, as of January 13, cryptocurrency exchanges held 2.35 million BTC, the lowest level since June 2018. André Dragosch, head of research at Bitwise, said the declining Bitcoin supply on exchanges could be due to continued discounted buying by institutional participants. Nevertheless, analysts believe that current trading volume is insufficient to recapture the $100,000 resistance level, and Bitcoin prices could rise driven by supply shocks.
Ace Hot Topic Analysis
Analysis
Bitcoin exchange reserves have fallen to their lowest level in nearly seven years, raising concerns in the market. According to CryptoQuant data, as of January 13, cryptocurrency exchanges held 2.35 million BTC, the lowest level since June 2018. This phenomenon is believed to be the result of sustained institutional buying, with institutions actively buying at a discount during the price slump. André Dragosch, Head of Research at Bitwise, said the decline in bitcoin supply on exchanges could be due to continued discounted buying by institutional participants. However, while bitcoin may be boosted by the supply shock, current trading volume is not enough to recapture the $100,000 resistance level. Analysts believe that while institutional buying is positive for the market, current low trading volume makes it difficult to support a significant rise in bitcoin prices.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Institutional investors continue to buy Bitcoin, leading to a decline in exchange reserves to their lowest level in nearly seven years.
The decline in Bitcoin exchange reserves may be due to continued discounted buying by institutional investors.
While Bitcoin may be driven higher by supply shocks, current trading volume is insufficient to recapture the $100,000 resistance level.
Bitcoin exchange reserves have fallen to a 7-year low, potentially signaling future price upside.