#Bitcoin Reserves Fall to 7-Year Low#
Hot Topic Overview
Overview
Bitcoin reserves on cryptocurrency exchanges have recently fallen to their lowest levels in almost seven years, mainly attributed to continued discount buying by institutional investors. As of January 13th, bitcoin reserves on exchanges have dropped to 2.35 million, the lowest level since June 2018. While analysts believe the supply shock could drive bitcoin prices higher, current trading volume is insufficient to break through the $100,000 resistance level. The declining bitcoin supply on exchanges, driven by sustained institutional buying, suggests strong confidence in bitcoin from institutional investors.
Ace Hot Topic Analysis
Analysis
Bitcoin exchange reserves have recently fallen to their lowest level in nearly seven years, sparking market concern. According to CryptoQuant data, as of January 13, cryptocurrency exchange bitcoin reserves fell to 2.35 million BTC, the lowest level since June 2018. This phenomenon is considered the result of continued institutional investor buying, who are taking advantage of the dip and causing bitcoin supply on exchanges to fall. André Dragosch, head of research at Bitwise, said that continued discounted buying by institutional participants is the main reason for the decline in bitcoin supply on exchanges. While analysts believe bitcoin could rise on supply shocks, current trading volume is not enough to retake the $100,000 resistance level.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Institutional investors continue to buy Bitcoin, causing exchange reserves to drop to their lowest level in nearly seven years.
Institutional investors may be buying Bitcoin on the dip, leading to a decline in exchange reserves.
The drop in Bitcoin exchange reserves may be due to continued discount purchases by institutional participants.
While Bitcoin may be driven higher by supply shocks, current trading volumes are not sufficient to reclaim the $100,000 resistance level.