"Binance sees slowdown in short-term investor inflows… easing Bitcoin sell pressure"

Source
Minseung Kang

Summary

  • An analysis said that as inflows of Bitcoin from short-term holders into Binance decline, near-term selling pressure is easing.
  • Current short-term holder Bitcoin inflows are below 6,000 BTC, far lower than the November peak, indicating that a significant portion of immediately sellable supply has already been distributed to the market.
  • The analyst added that if short-term holder inflows surge again, it could signal a resumption of adverse volatility, and that maintaining inflows below November levels will be the key variable determining the near-term direction.
Photo = CryptoQuant Quicktake capture
Photo = CryptoQuant Quicktake capture

An analysis suggests that as Bitcoin inflows to Binance from short-term holders have declined markedly, near-term selling pressure is easing.

On the 12th, ArabChain analyst said via a CryptoQuant Quicktake report that "since January, the amount of Bitcoin from short-term holders flowing into Binance has fallen noticeably compared with November and December last year."

He explained, "In November last year, the 7-day moving average of short-term holder Bitcoin inflows exceeded 12,000 BTC, reaching a very high peak," adding that "with Bitcoin trading around $84,000 at the time, panic selling or aggressive profit-taking became concentrated, creating strong selling pressure."

He continued, "In December, inflows from short-term holders persisted, but the intensity fell sharply, and the inflow size did not exceed 7,000 BTC," adding that "during this period, Bitcoin entered a sideways phase after a sharp drop and attempted only a limited rebound."

He assessed that clearer signs of easing are emerging in recent trends. He said, "Current short-term holder inflows to Binance remain below 6,000 BTC, showing a clear difference from the November peak." He also noted, "The share of short-term holders on Binance is also maintaining a relatively stable trend, and no new wave of large-scale selling by short-term traders is being observed."

The analyst said, "This suggests that a significant portion of immediately sellable supply was already distributed to the market during the previous correction," adding that "as direct selling pressure diminishes, Bitcoin has room to form a price bottom and attempt a gradual stabilization phase."

However, he added, "If short-term holder inflows surge again, it would be a warning signal that negative volatility could resume," and "for now, whether inflows remain below November levels will be the key variable determining the near-term direction."

publisher img

Minseung Kang

minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
hot_people_entry_banner in news detail bottom articles
hot_people_entry_banner in news detail mobile bottom articles
What did you think of the article you just read?




PiCK News

US spot Ethereum ETFs see $57 million in net inflows a day after outflows

18 minutes ago
US spot Ethereum ETFs see $57 million in net inflows a day after outflows

US spot Bitcoin ETFs see $144.9 million in net inflows a day earlier…second straight session

33 minutes ago
US spot Bitcoin ETFs see $144.9 million in net inflows a day earlier…second straight session

Banking industry: ‘Stablecoin issuers should be vetted for at least a year before getting a Fed payments account’… Clash over ‘skinny accounts’

45 minutes ago
Banking industry: ‘Stablecoin issuers should be vetted for at least a year before getting a Fed payments account’… Clash over ‘skinny accounts’

Democratic Party formalizes push to disperse crypto exchange governance… “Move quickly on the Framework Act on Digital Assets”

3 hours ago
Democratic Party formalizes push to disperse crypto exchange governance… “Move quickly on the Framework Act on Digital Assets”

Fed pushes to introduce 'skinny master accounts' within this year, creating a workaround as crypto legislation stalls

4 hours ago
Fed pushes to introduce 'skinny master accounts' within this year, creating a workaround as crypto legislation stalls

Trending News