Some indicators related to the movement of digital currencies are considered one of the basics that analysts look at, due to their reading of the current situation and clarifying the direction of the movement of digital currencies.

When cryptocurrencies exit cryptocurrency exchanges towards external wallets, this is a positive indicator that reveals an unwillingness to sell at least for the time being and a preference for holding instead, and vice versa.

According to the latest data published by the “Glassnode” platform:

Bitcoin whales are moving their digital assets from cryptocurrency exchanges to wallets.

The total bitcoin balance in cryptocurrency exchanges has reached its lowest level since February 2018.

Read:The first UAE Islamic bank to use blockchain technology for commercial distribution… Get to know it

Cryptocurrency exchanges now own 13.1% of the total bitcoin supply in circulation.

The latest drop came after big whale addresses moved bitcoin from leading cryptocurrency exchanges such as:

Binance, Coinbase, Huobi to unknown crypto wallets.

The Glassnode report added:

Bitcoin exchange balances have returned to 13.1% of the circulating Bitcoin supply, turning back the clock exactly to February 2018.

The balance of bitcoin on exchanges was estimated at 17%, and it reached its lowest level for short selling in March 2020.

The trend has changed that day.

In July 2021, bitcoin accounts and whales transferred more than $1 billion worth of bitcoin from Coinbase to crypto wallets in three separate transactions.

During the same month, a significant decrease in the supply of Bitcoin was recorded on the exchanges.

Bitcoin Accumulation:

The recent volatility of bitcoin has not prevented whales from accumulating the largest cryptocurrency in the world.

according to “glass“Bitcoin accumulation activity has increased sharply in the past few weeks, and from what the report states:

After the March 2020 sell-off, the structural trend of increasing illiquidity dominated the supply dynamics, as more currencies shifted from trading platform balances, to long-term investors’ portfolios.

Read:After the upgrade and merge approach… Ethereum fees drop to their lowest levels in 2022

After moderate inflows in May 2021, this downtrend in the supply of liquid currencies (HODLing increased behavior) resumed, indicating that the overall conviction to hold BTC remains a dominant force in the market.

It appears that despite significant volatility through 2021, long-term Bitcoin investors continue to accumulate cryptocurrencies and hold them in cold wallets.

Bitcoin has seen a jump in retail and institutional demand in the past 24 hours, with the price of Bitcoin surpassing $47,000.

The current market capitalization of Bitcoin is around $886 billion, up over 3% since yesterday.

Read also:

How did the crypto community react to fake news regarding Walmart and Litecoin?

Detailed explanation of how to use the “CoinEx” cryptocurrency trading platform (Part 1)