Document Analysis NLP IA
FREQ, RAKE or TFIDF
Summary (IA Generated)
Bitcoin (BTC) exchange reserves are continuously plummeting as analysts pinpoint the trend to a shortage of sellers.
Within merely seven months, a 250,000 BTC fall in exchange reserves signifies a $2.
Is the number of Bitcoin sellers dropping amidst an accumulation phase?.
Analysts mainly attribute the sustained drop in Bitcoin exchange reserves to an overall shortage of sellers in the market.
As retail sellers refrain from selling BTC at current prices, institutions are also acquiring more BTC.
The simultaneous drop in selling pressure and an increase in buyer demand is an optimistic trend for Bitcoin.
A pseudonymous trader known as “Oddgems” said the data shows Bitcoin is likely moving from exchanges to non-custodial wallets.
He emphasized that BTC outflows from exchanges are growing as cash reserves from institutions are flowing into Bitcoin.
The confluence of stagnant retail outflows from Bitcoin and the consistent demand from institutions buoy the general sentiment around BTC.
According to Glassnode, a large portion of the Bitcoin supply is stored in “accumulation addresses.
” These addresses represent users who never moved BTC from their wallets, who are likely storing BTC for the long term.
When “HODLing” activity is high, which refers to holding onto BTC for prolonged periods, it typically indicates the start of an accumulation phase.
6M $BTC (14% of supply) are currently held in accumulation addresses.
The BitMEX and OKEx controversy also led exchange reserves to decline sharply, possibly spooking traders.
The BitMEX BTC supply.