The data in the chain show that the Bitcoin Exchange reserve has witnessed a peak recently, a sign that could be bassist for the price of the asset.
Bitcoin Exchange reserve has reached several months ups and downs
In a new publication about X, the analyst of the Maartunn cryptocant community has talked about the last trend in the Bitcoin exchange reserve. The “Exchange Reserve” refers to an indicator in the chain that monitor the total amount of cryptocurrency that is sitting in the wallets together with centralized exchanges.
When the value of the metric increases, it means that investors are making net deposits of the asset to these platforms. In general, one of the main reasons why the holders would transfer their currencies to the custody of exchanges is for purposes related to the sale, so this type of trend can have bearish consequences for the price of BTC.
On the other hand, the indicator that presents a decrease suggests that investors are drawing a net number of exchanges tokens. Such a trend can be a sign that holders want to keep their BTC in the long term, which can naturally be optimistic for the value of the asset.
Now, here is a table that shows the trend in the Bitcoin exchange reserve on the history of cryptocurrency:
As is visible in the previous graph, the Bitcoin exchange reserve reached its maximum point at the end of 2024 and saw a reversion to a lower trend, indicating that investors changed to net retreats.
The decrease in metric was persistent, but very recently, another change has finally occurred, with the indicator shooting in place. Its value has now reached the 383 million BTC brand, which is the highest in a few months.
“This points to a change in the merchant’s behavior,” says Maartunn. “More coins that move to exchanges often precede greater sales pressure.” The investor deposit has arrived along with a period of bearish action in the price of Bitcoin. Now it remains to be seen if these exchange inputs would extend the reduction.
Speaking of the price decrease, the Glassnode chain analysis firm has discussed how this fall is compared to the passes in terms of the supply of BTC in loss.
As shown in the graph, only 9% of Bitcoin’s supply is in loss after price reduction. The maximum loss between these underwater currencies is also only 10%. As Glassnode explains,
On the contrary, the lower local part of this VIO cycle> 25% of the offer of up to 23% of losses, and global bears markets have reached> 50% supply with losses of up to 78%. This immersion remains relatively shallow.
BTC price
At the time of writing this article, Bitcoin quote around $ 111,200, 2% more in the last 24 hours.
