Bitcoin Whales Are Moving BTC Off Exchanges – What Do They Know?

According to data from CryptoQuant, Bitcoin is currently in an accumulation phase. Over the past month, 358,000 BTC has been transferred to permanent holder addresses. Additionally, Bitcoin Spot ETFs have recorded an inflow of 53,000 BTC, signaling strong institutional demand for the largest cryptocurrency. Meanwhile, supply on exchanges has reached its lowest level since November 2021, as indicated by on-chain data trackers. Despite marketwide optimism, Bitcoin remains stable around $67,000.

Bitcoin whales are actively accumulating this asset, pulling it away from exchanges and into custodial wallets. These “custodial” wallets typically hold Bitcoin for longer periods, reducing selling pressure. The decline in exchange supply reduces the likelihood of large-scale sell-off events.

Santiment data confirms that exchange supply is at its lowest level since November 2021. Institutional demand continues to be robust, with 53,000 BTC flowing in during July. Bitcoin appears poised for further gains this month.

Three Key Factors Driving Bitcoin’s Rise:

1. Whale Accumulation: Large holders are stockpiling BTC, contributing to the recent price surge.
2. Institutional Demand: Institutional investors continue to seek exposure to Bitcoin.
3. Exchange Supply: The decreasing availability of Bitcoin on exchanges supports its price.

In summary, Bitcoin is in an accumulation phase, with significant whale activity. The $72,000 target could trigger a massive short liquidation of $10 billion. However, resistance may be encountered around $70,000.

Sentiment: Positive