Bitcoin Stuck On Exchanges Drops To 3-Year Low: Analysis

Bitcoin stuck on exchanges drops to a 3-year low and the whoelcoiners are on the rise by charting a new ATH so let’s read more today in our latest BTC news.

With Bitcoin losing almost half its value a week ago, marking an 18-month low, the situation seemed gloomy but now there are some positive signs as the investors are withdrawing their holdings from exchanges. A lot has been said about what happened on the market in the past few weeks starting from the end of March when BTC reached $50,000. After failing at that point, the asset started its longest negative streak in terms of consecutive weekly candles that were in the red. The downturn was exacerbated by the developments around Terra and Celsius.

📈 #Bitcoin $BTC Number of Addresses Holding 1+ Coins just reached an ATH of 870,762

View metric:https://t.co/s7tx1xxyz3 pic.twitter.com/fECeiiWyN4

— glassnode alerts (@glassnodealerts) June 26, 2022

There seems to be some relief as BTC recovered by $4000 and moreover, the data from Glassnode shows that the investors stopped transferring their BTC on exchanges. The Bitcoin stuck on exchanges declined dramatically since the recent crash and it is now down to a 3-year low of under 2.4 million coins. At the same time, the analytics company informed that the retail investors returned to the scene and the number of non-zero wallets reached a new high of 42 million. By concluding that the bear market started after the ATH marked in November, Glassnode noted that this one went well in its historical norms and magnitude compared to other ones.

For example, the company asserted that the duration of a bear market is between 260 and 410 days so if we accept that the current one started in November, BTC can be closing down now. Also, previous bear markets saw the asset price drop by 75% and now this percentage went higher as BTC dipped to $17,500 which could signal the bottoms are in.

📉 #Bitcoin $BTC Balance on Exchanges just reached a 3-year low of 2,384,477.040 BTC

Previous 3-year low of 2,384,519.595 BTC was observed on 26 June 2022

View metric:https://t.co/9vOOAmwh32 pic.twitter.com/Hm5hGmFQ8d

— glassnode alerts (@glassnodealerts) June 27, 2022

As recently reported, BTC taps 10-day high under $22,000 while most of the coins retraced a little in the same timeframe except for DOGE which is up by 9% on the day. After bottoming at $17,500, the main cryptocurrency started its recovery and then reclaimed the $20,000 line and dipped below a few times in the next few days but then stood north for longer periods.