Bitcoin Whales Buys Downside As $222 Million In Stables Transfers Into Exchanges

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Data from the chain shows massive inflows of $222 million worth stablecoins on exchanges. This suggests that Bitcoin whales could be looking to buy the negative.

Stable inflows of $222 million are observed at centralized exchanges

As one CryptoQuant pointed it out PublishYesterday, stablecoins were added to centralized exchanges in excess of $222 million. The timing of this massive spike seems to coincide with Bitcoin’s price falling.

Exchange inflow is an indicator of the amount of stablecoins that have entered centralized exchanges via personal wallets.

This metric is worth more, which means that more investors send their coins to these exchanges in order to buy other cryptocurrencies such as Bitcoin.

The stable coin inflow indicator dropping could also indicate that traders aren’t interested in trading their coins. They might prefer to wait and watch the price of volatile crypto move before buying in the market.

The output indicator is located opposite the above metric. The netflow is the difference between the two. A positive netflow means more inflows. A negative flow means more outputs. This is the current graph for this metric:

 Source:| Source: CryptoQuant

The chart above shows that the indicator’s value increased yesterday due to $ 222 million worth of stablecoins being moved to centralized markets.

It is interesting to note that the price of Bitcoin (the yellow curve in this chart) dropped from $ 47.5,000 down to $ 46,000 right before the peak.

Similar reading: Indicators suggest Bitcoin’s largest buy signal since April 2020| Indicators suggest Bitcoin’s biggest buy signal since April 2020

The foreign exchange reserve (blueline), another measure, was also increased along with stablecoin inflows of $ 222 million. An increase in the value of exchange reserves is a sign that there is an increase in the total tokens traded on exchanges.

Given the timing of the Bitcoin drops and the large flows, it seems like these are institutional investors or whales trying to get in on the BTC drop.

Bitcoin price

As of writing, the price for Bitcoin is hovering around $ 46.4,000. This is an increase of 2% over the previous seven days. Over the past month, cryptocurrency has experienced 48% gains.

Below is a chart showing trends in Bitcoin’s price over the past 3 months.

Bitcoin Price Table

 Source: BTCUSD| Source: BTCUSD on TradingView

After a positive uptrend for some time, BTC appears finally to have slowed down. Crypto prices have stagnated around $ 46,000.

Similar reading: Weekly Bitcoin Momentum Cross bullish| Weekly Bitcoin Momentum Cross bullish for the first time since March 2021

It is unknown in what direction BTC will continue to move once it breaks out from this range. If stable coin entry trends are any indication, the price right now is bullish. It is always possible for a bear to occur.


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