Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert & block trade
Convert crypto with one click and zero fees
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Bitcoin daily withdrawals challenge records as $2B leaves exchanges

Bitcoin daily withdrawals challenge records as $2B leaves exchanges

CointelegraphCointelegraph2024/03/03 15:07
By:William Suberg

Bitcoin ( BTC ) is leaving exchanges at the quickest rate in years as BTC price action vies for all-time highs.

In a post on X (formerly Twitter) on Mar. 3, James Van Straten, research and data analyst at crypto insights firm CryptoSlate, flagged multi-billion dollar BTC withdrawals.

BTC exchange withdrawals echo 2021

Mainstream investors may not yet have returned to crypto, but in the background, Bitcoin exchanges are getting drained of BTC reserves.

Uploading data from on-chain analytics firm Glassnode, Van Straten revealed that on Mar. 1 alone, withdrawals were around $2 billion.

“I don’t think I’ve quite seen anything like this before,” he commented.

“All in all on the Friday, just over $2.3B worth of Bitcoin left exchanges. One of the biggest withdrawals in over 5 years.”
Bitcoin daily withdrawals challenge records as $2B leaves exchanges image 0
Bitcoin Net Transfer Volume from/to Exchanges Breakdown by Size. Source: James Van Straten/X

Glassnode itself appears to show daily BTC outflows roughly equalling June 28-29, 2021, which combined to see record withdrawals.

Van Straten noted the role of the United States spot Bitcoin exchange-traded funds (ETFs), excluding approximately $200 million sent to custodian Coinbase Pro.

“Binance saw about $400M, and seen fairly big outflows for the past few days,” he continued.

“Coinbase saw the rest. Binance outflows are the interesting ones because they have nothing to do with the ETF.”
 
Bitcoin daily withdrawals challenge records as $2B leaves exchanges image 1
Bitcoin Balance on Exchanges. Source: Glassnode

Glassnode puts the total BTC assets available on the major trading platform it monitors at 2,286,347 BTC ($142.5 billion) as of Mar. 2.

This is the lowest amount since March 2018, when BTC/USD traded at just $8,000.

New Bitcoin investors "flowing in"

Meanwhile, separate figures tracking Bitcoin market composition show that new entities are now coming on board.

In one of its recent Quicktake market updates , Crypto Dan, a contributor to on-chain analytics platform CrryptoQuant, captured ongoing changes in unspent transaction output (UTXO) ages.

More “younger” coins are involved, with “older” ones — dormant for six months or more — waking up.

“New investors are flowing in, and in the near future we can expect the influx of many new ‘individual’ investors,” he summarized.

“Eventually, this ratio will continue to decline sharply, leading to the ‘true bull market’ we desire.”
Bitcoin daily withdrawals challenge records as $2B leaves exchanges image 2
Bitcoin UTXO age bands annotated chart. Source: Crypto Dan/CryptoQuant

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!