Recent on-chain data indicates that Binance has experienced significant net inflows of Bitcoin, raising concerns that the downward trend of BTC may continue.
Bitcoin Binance Netflow Turns Positive
In a recent update shared by Maartunn from the CryptoQuant community on X, the focus was on the current trend of Bitcoin exchange netflow specifically on Binance.
The term “exchange netflow” refers to a metric that tracks the net amount of Bitcoin entering or exiting wallets associated with a particular exchange, calculated by subtracting outflows from inflows.
A positive value suggests more Bitcoin is entering the exchange than leaving, usually indicating selling activity. Conversely, a negative value implies withdrawals from the exchange, signaling a bullish outlook as investors may be holding onto their coins.
The provided chart illustrates the recent positive trend in Bitcoin exchange netflow on Binance:
Despite the recent price drop, Binance has seen continued net deposits, suggesting an influx of Bitcoin on the platform. This trend implies a potential increase in selling activity by large holders.
Bitcoin has shown signs of recovery following these net inflows into the leading cryptocurrency exchange, indicating that major sellers may not have executed their trades yet.
It remains uncertain whether these deposits will further contribute to the bearish market or if they serve other purposes beyond selling.
Furthermore, a significant BTC whale recently moved 700 BTC, valued at approximately $45.4 million, that had been idle for over a decade.
Price Movement of Bitcoin
Bitcoin’s price briefly dropped to $63,400 but has since recovered to $64,800.
