Over 34,000 BTC moved from exchanges in one day, what this means for the Bitcoin price
On-chain analysis firm Sentiment reports that 34,723 BTC moved from exchanges on September 30, marking the highest in more than three months and the fourth largest Bitcoin move of 2022.
👍 #Bitcoin saw 34,723 of their coins move off exchanges on September 30, indicating what could be a touch of trader confidence heading into Q4. At least that much the last time $BTC the left exchange was June 17, where prices jumped +22% over the next 4 weeks. pic.twitter.com/vPG1RKWUpX
— Santiment (@santimentfeed) 2 October 2022
This remains a potentially bullish indicator for the leading crypto asset, as Santiment indicates it could point to trader confidence heading into Q4. It notes that the last time such a large amount of BTC left the exchanges was on June 17, after which prices increased by almost 22% in the weeks that followed.
In its latest analysis, on-chain data analytics firm CryptoQuant notes that currency reserves have dropped by more than 60,000 BTC over the past three days. It says this remains the highest amount in months and could be a sign that demand is returning to the market after months of falling prices.
Even if currency outputs remain positive, less supply on exchanges may mean less selling pressure from market participants.
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BTC is currently trading marginally at $19,281. After the weak price performance in September, sentiment among traders remains low, which could be another potentially bullish indicator.
Cryptoanalyst Ali, citing Santiment data, wrote that “Market sentiment towards Bitcoin remains negative. Social data from sentimentfeed shows a weighted sentiment score of -0.33, while talk of BTC on social media is well below 20%, which indicates that interest in BTC has waned.”
Historically, Q4 has been Bitcoin’s best performance by far
Bitcoin (BTC) failed to hold the $20,000 mark at the end of September as it stayed lower by ending the month at $19,425. Capping a 3.16% loss in September, Bitcoin has yet to show any growth in October, with prices down 1.64% for the month so far.
Will Clemente, a cryptoanalyst, highlights a historically positive Q4 for Bitcoin “Historically, Q4 has been Bitcoin’s best performer by far, with an average quarterly return of +103.9%. October and November have been the best individual months with an average return of 24 % and 58%. Does seasonality matter? Let’s see.”
It remains to be seen whether history will repeat itself in this scenario.
