On-chain data analyzed by Glassnode, an on-chain analytics firm, shows that the current Bitcoin cycle is following a different trend compared to the previous epochs. During the previous cycles, the balance on exchanges registered a net increase, meaning investors were depositing more coins in these centralized platforms. However, the balance on exchanges for the current epoch has seen a decline, with investors withdrawing around 680,000 BTC from these platforms. This trend is unlike the previous cycles where exchanges saw a large number of net inflows. The Bitcoin balance on exchanges hit a peak value of 3.2 million BTC just before the COVID crash in March 2020. Today, the indicator’s value stands at 2.3 million BTC, marking a decline of 28% from the peak. It’s worth noting that the current cycle is yet to end, but a reversal is unlikely to happen now that the next halving is drawing near (2024). Despite the unusual trend, Bitcoin is currently trading at around $26,700, up 1% from the previous week.
About the author - J-S Tremblay
I've been involved in the cryptocurrency world since 2016 and trading since 2019. I started Moon and Lambo in 2021. I'm passionate about crypto and love to share my knowledge. I hate bankers and I hope that cryptocurrency will change the financial world for the better. View full profile...
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