In a recent development, data from crypto analytics company Glassnode shows that the amount of Bitcoin held on Coinbase has reached a nine-year low. This has increased the possibility of the flagship crypto rising quickly enough to a new all-time high (ATH) of $75,000.
BTC held on Coinbase drops significantly
According to Glassnode, the Bitcoin balance on Coinbase fell to a nine-year low of 344,856 on March 18. This suggests that Bitcoin investors are choosing to move their stocks. holding on to grants and hold for the long term rather than sell quickly. Such a move reduces short-term pressure on Bitcoin and could trigger an uptrend in the price of BTC.
Meanwhile, the decline in BTC on Coinbase appears to be a trend facts by market information platform Santiment showing a decline in the total amount of Bitcoin held on centralized exchanges (CEXs). This data is also supported by the fact that these exchanges have recorded more outflows than inflows in recent times.
Further data from Santiment also shows that the supply on exchanges as of March 22 was just over 836,000 BTC, compared to the 18.82 million BTC coming from these CEXs. The decline in the number of BTC held on exchanges is undoubtedly a welcome development, considering how the flagship crypto token has recently been plagued by a wave of profit taking.
Previously, the bearish sentiment around BTC was further strengthened by JPMorgan’s theory that Bitcoin was overbought and that the crypto token could experience further price declines soon enough. However, now that BTC is worth over $70,000 again, the belief is that this is just the beginning of an uptrend that could reach new highs.
Spot Bitcoin ETFs Record Net Inflows
BitMEX Research Unveiled in an X (formerly Twitter) after that the Discover Bitcoin ETFs registered a combined net inflow of $15.7 million on March 25. This represents a positive turn in events after these funds negative currents all last week. The wave of profit taking by these Bitcoin ETF investors contributed to the BTC dip that occurred during that period.
The crypto community will no doubt be keeping an eye on the flows recorded by these Spot Bitcoin ETFs this week, as they may provide an idea of whether or not the outlook for BTC has turned bullish again. These Bitcoin ETFs are now playing a prominent role in the Bitcoin ecosystem, considering how much BTC these fund issuers collect when there is one high demand for them.
At the time of writing, Bitcoin is trading around $70,700, up more than 5% in the past 24 hours. facts from CoinMarketCap.
BTC price trending north of $70,000 | Source: BTCUSD on Tradingview.com
Featured image from BBC, chart from Tradingview.com
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