NewsletterBitcoin Exchange Inflow Continues to Surge, Will BTC see a Further Downside?
Bitcoin price fell to a 3-month low earlier today retracing to $42,000 level which many believe was caused by Elon Musk’s recent Twitter meltdown, however, the price soon bounced off to rise above $45,000 as the total correction since last month high reached over 30%, the biggest correction this bull season. While many Bitcoin proponents believe the recent market shakeup is not out of the ordinary, the unusual exchange inflow continues to rise which might indicate another bearish downtrend in the short term.
Ki-Young Ju, founder of crypto analytical firm crypto quant and a popular crypto analyst has pointed towards the growing exchange inflow and warned traders to keep their leverage small and to avoid longing Bitcoin in the coming few days.
A similar unusual exchange inflow was registered on Bitfinex just hours before Elon Musk announced Tesla would no longer accept Bitcoin payments owing to the environmental concern following which the price of the top cryptocurrency recorded a 10% correction. While many blame Musk for the recent sell-off and corrections, Bitcoin proponents claim an upward 200% surge since the start of the year does come at a cost of certain corrections ranging between 10%-40%.
Bitcoin Whales Behind the Recent Sell-Off?
Bitcoin this bull season has developed a unique price pattern where it has risen to a new ATH every month followed by an immediate crash ranging between 10%-30% and an elongated consolidation phase before moving to the next ATH. With each new ATH, the consolidation phase has gotten longer since fore the first two months BTC recorded a new ATH in the first week itself, then as the consolidation phase got longer the new ATHs started to come in the second week.
The recent sell-off for sure has created a panic in the market given Musk single-handily gave fuel to multiple debunked FUDs all at once which has created a panic among new investors and whales seem to be making the most of it. Until May, even during the dips exceeding 20%, the exchanges continue to register massive outflows
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- $12T Charles Schwab to Launch Bitcoin and Ethereum Trading in Early 2026, CEO Confirms
- Senator Tim Scott Floats December 17 and 18 For Crypto Market Bill Markup
- BlackRock CEO Larry Fink Admits He Was Wrong on Bitcoin as IBIT Hits New Milestone
- Crypto Platform Polymarket Relaunches in U.S. Following CFTC Approval
- December Fed Rate Cut Prospects Strengthen After ADP Shows Deepening Labor Market Weakness
- Dogecoin Price Holds $0.15: Bullish Reversal or Just a Temporary Bounce?
- Sui Price Surges 10% As Vanguard Group Adds SUI to Bitwise 10 Crypto Index
- Bitcoin Price Prediction: Will Next Bull Run Push BTC to $100,000?
- Pepe Coin Price Risks 80% Crash as Alarming Pattern Forms and 6.5T Inflows
- Chainlink Price Surges 20%: What’s Driving Massive Upswing?
- Solana Price Poised for 25% Rally as ETF Inflows Surge Past $650M
