Good day everyone,
I hope you are all having a good day, welcome to CryptoGod-1's blog on all things crypto. In this post I will be looking at the decline in Bitcoin supply on exchanges as long term holders are dominating the market.
Bitcoin Exchange Supply Hits 7-Year Low
The amount of Bitcoin currently held on exchanges sits at only 7.53% of Bitcoin’s total supply. This marks the lowest amount since the 20th of February, 2018. The decline in Bitcoin on exchanges shows the shift toward long-term holding trends with many investors preferring to hold their crypto in cold storage. Santiment analyst Brian Quinlivan explained that this drop in exchange supply reflects reduced short-term sell pressure. He added that once coins are moved off the exchanges into cold storage or custodial solutions it signals that holders are not inclined to sell their holdings anytime soon. It can help to defend the market from sudden downturns as less coins are readily available for spot selling.
Looking at the historical trends, the lower exchange balances are often associated with bullish market sentiment. They suggest confidence in Bitcoin’s long-term value and therefore as more Bitcoin moves off exchanges the market participants are increasingly viewing Bitcoin as a long-term store of value rather than a tool for speculative trading. Bitcoin price is currently $84,067.35 following a week of the price moving sideways. The leading cryptocurrency is down by around 20% compared to its all-time high of $109,114, which it reached back in January of this year.
https://www.coingecko.com/en/coins/bitcoin
The corporate interest being shown in Bitcoin indicates there will be no slowing down as a number of major firms ramp up their holdings amid growing institutional confidence in the digital asset. The French based tech firm The Blockchain Group recently announced they had purchased 580 Bitcoin as part of their largest acquisition to date. They have brought their total holdings of Bitcoin to over $50 million. The Japanese investment firm Metaplanet also added a further 150 Bitcoin to their reserves, bringing their total Bitcoin reserves to 3,350 Bitcoin.
Gamestop have also revealed plans to raise $1.3 billion via a convertible debt offering. These funds will be a part of their plans to acquire more Bitcoin and make the company one of the latest high-profile entrants in the corporate crypto space. This is in line with companies such as Strategy by Michael Saylor, which now hold a total of 506,137 Bitcoin. These purchases come amid a growing wave of similar legislation nationwide.
https://x.com/santimentfeed/status/1904994420489130431
Have a great day.
Peace. CryptoGod-1.
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