Bitcoin exchange balance dips to lowest since 2018 as market shifts to HODLing
Summary
Bitcoin stored in exchange wallets has declined significantly since mid-March 2020, with the amount dropping from 17% to 11.79% of the total supply. This trend continued into 2024, with specific exchanges like Coinbase, Binance, Kraken, and OKX experiencing net outflows, while Bitfinex and Bittrex saw net inflows. The decrease in exchange balances aligns with a bullish market sentiment and a shift towards long-term holding. Factors such as the launch of Spot Bitcoin ETFs, regulatory challenges, and security concerns have influenced this movement. The shift to personal wallets may reduce price volatility and indicate a strong conviction in holding among investors.
