{"id":479953,"date":"2021-12-28T19:00:12","date_gmt":"2021-12-28T19:00:12","guid":{"rendered":"https:\/\/wncen.com\/?p=479953"},"modified":"2024-06-11T14:10:14","modified_gmt":"2024-06-11T14:10:14","slug":"bitcoin-bearish-signal-trend-again-outflows-inflows","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/bitcoin-bearish-signal-trend-again-outflows-inflows\/","title":{"rendered":"Bitcoin Bearish Signal: Trend Is Again Shifting From Outflows To Inflows"},"content":{"rendered":"
On-chain data shows Bitcoin netflow trend is once again shifting from outflows to inflows, a sign that could prove to be bearish for the crypto.<\/p>\n
As per the latest weekly report from Glassnode<\/a>, BTC netflows have once again started to move from a trend of net outflows to more inflows.<\/p>\n The “all exchanges netflow<\/a>” is an indicator that measures the net amount of Bitcoin entering or exiting wallets of all exchanges. The metric’s value is calculated by simply taking the difference between the inflows and the outflows.<\/p>\n When the indicator has negative values, it means outflows<\/a> are overwhelming inflows as a net amount of BTC is being transferred out of exchanges. Investors usually withdraw their coins from exchanges for accumulation purposes. And so, such a trend can be bullish for the crypto.<\/p>\n On the other hand, positive netflow values signify that a net amount of Bitcoin is being deposited into exchange wallets. Since holders generally move their crypto to exchanges for withdrawing to fiat or for purchasing altcoins with them, such values of the indicator may be bearish for the coin.<\/p>\n Now, here is a chart that shows the trend in the BTC netflow over the course of 2021:<\/p>\n <\/p>\n As you can see in the above graph, the netflows have been oscillating between the +5k BTC and -5k BTC lines throughout the year.<\/p>\n Though there have been some brief periods where the indicator’s value broke out of this range, but overall the trend has been consistent.<\/p>\n Related Reading |\u00a0Five Bitcoin Short Films For A Lazy Holiday Evening: Energy, Money, &\u2026 Basket?<\/a><\/em><\/strong><\/p>\n Looking at the chart, it seems like the indicator is currently shifting towards inflows again, after a period of big outflows.<\/p>\n The report notes that it’s worth keeping an eye on this trend to see if these inflows intensify or rather decline towards the start of the new year.<\/p>\n Related Reading |\u00a0Bitcoin Leverage Ratio Hits New ATH, Is More Price Decline Coming?<\/a><\/strong><\/em><\/p>\n If the inflows do sustain for a while, then the outlook could be bearish for the price of BTC, similar to back in May of this year.<\/p>\n Bitcoin’s price<\/a> reached almost $52k yesterday, but has since declined again. At the time of writing the crypto’s price floats around $49.2k, up 0.5% in the last seven days. Over the past thirty days, the coin has lost 9% in value.<\/p>\n The below chart shows the trend in the price of BTC over the last five days.<\/p>\n <\/p>\n On-chain data shows Bitcoin netflow trend is once again shifting from outflows to inflows, a sign that could prove to be bearish for the crypto. Bitcoin Netflow Trend Is Changing To Inflows From Outflows As per the latest weekly report from Glassnode, BTC netflows have once again started to move from a trend of net outflows to more inflows. The “all exchanges netflow” is an indicator that measures the net amount of Bitcoin entering or exiting wallets of all exchanges. The metric’s value is calculated by simply taking the difference between the inflows and the outflows. When the indicator has negative values, it means outflows are overwhelming inflows as a net amount of BTC is being transferred out of exchanges. Investors usually withdraw their coins from exchanges for accumulation purposes. And so, such a trend can be bullish for the crypto. On the other hand, positive netflow values signify that a net amount of Bitcoin is being deposited into exchange wallets. Since holders generally move their crypto to exchanges for withdrawing to fiat or for purchasing altcoins with them, such values of the indicator may be bearish for the coin. Now, here is a chart that shows the trend in the BTC netflow over the course of 2021: Looks like BTC inflows are on the rise | Source: The Glassnode Week Onchain (Week 52) As you can see in the above graph, the netflows have been oscillating between the +5k BTC and -5k BTC lines throughout the year. Though there have been some brief periods where the indicator’s value broke out of this range, but overall the trend has been consistent. Related Reading |\u00a0Five Bitcoin Short Films For A Lazy Holiday Evening: Energy, Money, &\u2026 Basket? Looking at the chart, it seems like the indicator is currently shifting towards inflows again, after a period of big outflows. The report notes that it’s worth keeping an eye on this trend to see if these inflows intensify or rather decline towards the start of the new year. Related Reading |\u00a0Bitcoin Leverage Ratio Hits New ATH, Is More Price Decline Coming? If the inflows do sustain for a while, then the outlook could be bearish for the price of BTC, similar to back in May of this year. BTC Price Bitcoin’s price reached almost $52k yesterday, but has since declined again. At the time of writing the crypto’s price floats around $49.2k, up 0.5% in the last seven days. Over the past thirty days, the coin has lost 9% in value. The below chart shows the trend in the price of BTC over the last five days. BTC’s price seems to have plunged down in the past 24 hours | Source: BTCUSD on TradingView Featured image from Unsplash.com, charts from TradingView.com, Glassnode.com<\/p>\n","protected":false},"author":542,"featured_media":479961,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3],"tags":[428,13790,84431,1119,1144],"class_list":["post-479953","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-bitcoin","tag-bitcoin-bear","tag-bitcoin-inflows","tag-btc","tag-btcusd"],"acf":[],"yoast_head":"\nLooks like BTC inflows are on the rise | Source: The Glassnode Week Onchain (Week 52)<\/a><\/pre>\n
BTC Price<\/h2>\n
BTC's price seems to have plunged down in the past 24 hours | Source: BTCUSD on TradingView<\/a><\/pre>\n
Featured image from Unsplash.com, charts from TradingView.com, Glassnode.com<\/pre>\n","protected":false},"excerpt":{"rendered":"