Investors Holding Bitcoin Since 12 Months To 18 Months Ago Transfer A Huge Amount To Exchanges
As pointed out by an analyst in a CryptoQuant , some long-term investors holding on to their coins since between a year to a year and a half recently sent big inflows to exchanges.The relevant indicator here is the “exchange inflow,” which measures the total amount of Bitcoin moving to centralized exchange wallets.
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Looks like a large amount of coins were deposited by these long-term holders recently | Source:
As you can see in the above graph, the value of the indicator observed a huge spike just recently. This means that long-term holders within the age range of 12 to 18 months transferred a big number of coins to exchanges, possibly for selling them.
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Since a spike has also occurred recently, the price of Bitcoin may be in for a similar plunge soon, if the pattern continues to hold. However, in certain cases, it’s also possible the value of the coin doesn’t see any effects from this. An example of such a situation would be if an outflow of similar or larger amount took place soon.BTC Price
At the time of writing, Bitcoin’s price floats around $43.3k, up 23% in the last seven days. Over the past month, the crypto has gained 17% in value.
The below chart shows the trend in the price of the coin over the last five days.Following the sharp surge a few days back, the price of Bitcoin seems to have moved sideways | Source:
Featured image from Unsplash.com, charts from TradingView.com, CryptoQuant.com