Bitrabo Editorial
Recent data indicates a rise in Bitcoin dominance on American exchanges with a shift of interest from global platforms to US-based ones. Let’s explore what occurred during similar trends in the past.
Shift from Global to US Platforms
In a recent post on X, Ki Young Ju, the founder of CryptoQuant, highlighted a developing trend in a Bitcoin indicator. The metric compares the BTC reserves held by US-based platforms to those held by off-shore platforms.
These “platforms” not only include exchanges but also recently approved spot exchange-traded funds (ETFs) operating in the US since January.
An increasing ratio signifies a growth in reserves on US platforms compared to off-shore ones, indicating a shift in interest. Conversely, a declining ratio suggests a movement of cryptocurrency from US exchanges and spot ETFs to foreign platforms.
A decade-long trend graph of this Bitcoin indicator shows a significant recent increase in the value, suggesting reduced dominance of off-shore platforms. The rise is likely influenced by the growing popularity of US spot ETFs.
Similar patterns in the past, notably before the 2021 and 2017 bull runs, show that bullish periods align with increased interest in American platforms over global exchanges.
The repeating pattern in the ratio indicates a potential upcoming major bull run for Bitcoin, subject to observation for confirmation.
In derivative market news, a substantial number of long investors faced liquidation within 24 hours as Bitcoin and other cryptocurrencies experienced drawdowns.
Bitcoin Price Movement
Bitcoin briefly dipped below $66,000 before slightly rebounding to $66,600 post the recent plunge.