Bitcoin Supply on Exchanges Continues to Decline
The lack of BTC supply on exchanges demonstrates that the asset owners still lack faith in centralized platforms. They still like self-custodial and cold storage alternatives.
The self-custodial movement grew after one of the biggest bitcoin exchanges collapsed around the end of last year. In November, FTX collapsed and declared bankruptcy, bringing down other cryptocurrency companies and stranding people and their valuables. Due to this, significant exchanges, like Binance, the biggest platform in the world, saw a surge in BTC outflows.
Even though investors chose self-custodial techniques in the first quarter of 2022, exchange outflows rose due to the year’s tragic events. BTC usage on these platforms decreased by 7% between
Significant BTC Whale Activity Continues
Sentiment observed large activity in the asset’s whale transactions despite the diminishing BTC supply on exchanges. The site claims that the weekly average Bitcoin transaction value above $100,000 is 57,400. Despite Bitcoin’s recent decline to the $25,000 level last week, these transactions have continued.
According to a recent on-chain investigation, some whales and sharks holding 10 to 10,000 BTC amassed more than 11,600 BTC worth around $308 million between August 17 and August 24. Santiment’s report is consistent with this information. Around 156,660 wallets held 10 to 10,000 BTC as of yesterday, supporting the assertions of reasonable whale activity.
The world’s largest asset management, BlackRock, applied to the U.S. Securities and Exchange Commission, which caused the BTC whale and shark buying binge to accelerate.