Bitcoin Whales pulled 15.7k BTC from exchanges recently, highest since June
Data shows that Bitcoin whales withdrew 15.7k BTC from exchanges in the last few weeks, the highest amount since June of this year.
Bitcoin Whale Netflows recorded negative values recently
According to the latest weekly report from Glassnode, BTC whale withdrawal volumes have increased in recent weeks.
The relevant indicator here is “whale net flow”, which measures the net amount of Bitcoin that whales are withdrawing or depositing to centralized exchanges right now.
The metric’s value is calculated by simply subtracting the withdrawal volume of this cohort from the deposit volume of the same.
When the net flow has a positive value, it means that BTC whales are transferring a net number of coins to exchanges at the moment.
Since investors usually deposit into exchanges for selling purposes, this type of trend can be bearish for the price of crypto as it can be a sign of dumping by these huge holders.
On the other hand, negative values on the indicator suggest that whale outflows are currently overwhelming inflows. Such a trend, when extended, could be a sign of accumulation from this cohort and could therefore prove bullish for the BTC price.
Now, here is a chart that shows the trend in the online flows of Bitcoin whales over the last couple of years:
Looks like the value of the metric has been red in recent days | Source: Glassnode's The Week Onchain - Week 41, 2022
As you can see in the graph above, the Bitcoin whale’s online flows have registered deep negative values over the past few weeks.
In total, whales have withdrawn a net amount of 15.7k BTC during this period, the highest value since June of this year.
The chart also shows the separate data for whale withdrawals and deposits. It seems that withdrawals have increased sharply recently, while deposits have remained low. A trend that agrees with the online flow.
The last time such large red net flows were seen was right after the price of Bitcoin crashed from $30k to around $20k, suggesting that the whales may have rallied and thought the price was bottoming out.
Since the BTC price has overall consolidated since then, the recent underwater net flows could mean that this cohort is once again accumulating in preparation for the market to move to higher levels.
BTC price
At the time of writing, Bitcoin’s price is hovering around $19k, down 4% in the last week. Over the past month, the crypto has lost 12% in value.
The value of the coin seems to have declined over the last few days | Source: BTCUSD on TradingView
Featured image from Karl-Heinz Müller on Unsplash.com, charts from TradingView.com, Glassnode.com
