Will Recent Binance Events Trigger This Historical Bitcoin Bull Run Signal?
Summary
The recent instability at cryptocurrency exchange Binance, following the resignation of Changpeng Zhao, has led to outflows from the exchange and inflows for US-based Coinbase. This development follows a pattern noted in the crypto market whereby the BTC exchange reserve ratio between US-based exchanges and foreign platforms influences investor behavior. During past bull markets, the ratio rose during build-up periods, suggesting large entities moving to American platforms, and fell as the bull run began and investors moved away. Currently, the ratio is demonstrating a small rise after a decline, potentially signalling a rising dominance for American exchanges. This could trigger a new Bitcoin bull market.
