More Bitcoin withdrawals have hit top cryptocurrency exchanges in the last 24 hours, data from Glassnode shows. More than 20,000 BTC worth $183 million have been withdrawn from one of the top exchanges. This is the second wave of BTC outflows that have hit exchanges this year.
The first major outflow came just before and after the halving at the time when expectations for a Bitcoin price surge was high. Following the halving, an estimated $220 million worth of BTC had left exchanges and were being held in individual wallets. This second wave may be much bigger as nearly an equal amount has been withdrawn from Coinbase alone.
BTC Outflows – Bullish Or Bearish?
The huge withdrawals from exchanges into users’ personal wallets is a recurrent trend with Bitcoin. Cryptocurrency analysis platform MMCrypto says the trend has historically coincided with bull runs and this time may not be an exception. Such a trend was expected immediately following the halving but the level of price surge has not been seen yet.
Not all analysts believe Bitcoin will soon experience a bull run though. Some believe Bitcoin is not ready for a bull run yet until after a significant downward move. Specifically, they expect the asset to go as low as $6,000 in the short term before experiencing any price surge to $10,000 or above.
Although this is what many crypto enthusiasts are hoping for, there are several indicators that suggest a dip to such a price is not likely. This includes Bitcoin’s current fundamentals as well as its historical behavior which has proven to repeat itself.
Current market situation
Bitcoin rose significantly to $9,341 for the first time in a long time a few days ago. It then dropped to less than $9,200 where it has ranged for some time. Some altcoins made some impressive upward movements yesterday but the euphoria has since settled and investors are waiting to see what happens next.
Okex Insight intraday analysis says Bitcoin’s key support now rests at $9,000, making it a critical level that could determine the fate of the asset in the coming days. As the weekend approaches, bigger price swings are expected but which direction will it go? The current price is $9,180.05 with a loss of 2.16% in the last 24 hours.