Tomiwavoldo Olajide
Bitcoin whale balance also increased by 220,000 BTC this year.
Read U.TODAY
google news
According to cryptocurrency analysts Aliapproximately 111,000 Bitcoins (BTC) worth approximately $7.55 billion were moved from known cryptocurrency exchange wallets last month.
This trend highlights the gradual decline in BTC supply on exchanges in recent months, suggesting an exodus from crypto exchanges.
One possible explanation for the Bitcoin outflow is that more investors prefer to store their Bitcoin in private wallets rather than on exchanges.
Furthermore, institutional adoption of Bitcoin has accelerated recently. These institutional investors may wish to secure their holdings in private wallets or cold storage for long-term purposes.
When such a large amount of Bitcoin is withdrawn from an exchange, a supply shortage can occur where the demand for BTC exceeds the available supply. This scenario could pave the way for a bull market.
Ali reported in a tweet on April 4 that 21,400 BTC worth approximately $1.4 billion was moved to an accumulation address that had never used the funds for a single day.
220,000 BTC added to whale balance
On-chain analytics company Into the Block reports that Bitcoin ETFs have accumulated over 4% of BTC supply in less than three months.
The amount of Bitcoin held by addresses with more than 1,000 BTC, known as “whales,” has skyrocketed dramatically since the ETF's creation, with the total balance of whale addresses reaching its highest level since June 2022.
This year, Whale's balance increased by 220,000 BTC, reaching a total of $14.2 billion, of which 210,000 BTC came from net inflows to ETFs, which have supported the bulk of Whale's accumulation. This pushed Bitcoin to a new all-time high and contributed to an increase in demand for crypto assets.
At the time of writing, BTC was up 2.23% in the past 24 hours to $69,286.
About the author
Tomiwavoldo Olajide
