Recent data from crypto analytics firm Glassnode has revealed that the amount of Bitcoin held on Coinbase has dropped to a 9-year low. This significant decrease in Bitcoin holdings on the popular exchange has raised the possibility of the flagship cryptocurrency reaching a new all-time high of $75,000 in the near future. Investors seem to be moving their Bitcoin holdings off exchanges to hold for the long term, signaling a shift in market sentiment.
The drop in Bitcoin holdings on Coinbase is not an isolated occurrence, as data from market intelligence platform Santiment indicates a general decrease in the total amount of Bitcoin held on centralized exchanges. This trend is further supported by the recent outflows surpassing inflows on these exchanges. The supply of Bitcoin on exchanges as of March 22 stood at just over 836,000 BTC, highlighting the increasing number of investors holding onto their assets rather than trading them.
Previously, there was a bearish sentiment surrounding Bitcoin, fueled by concerns of overbought conditions and potential price declines. However, the recent surge in Bitcoin’s price back over $70,000 has shifted the narrative towards a more bullish outlook. Analysts believe that this price increase is just the beginning of a larger upward trend that could propel Bitcoin to new highs in the coming days.
BitMEX Research reported a net inflow of $15.7 million into Spot Bitcoin ETFs on March 25, signaling a positive turn of events after a period of negative flows. The activity of these ETF investors is closely monitored by the crypto community as it provides insights into the overall sentiment towards Bitcoin. The increasing demand for these ETFs demonstrates the growing interest in Bitcoin as an investment asset.
As of the latest data from CoinMarketCap, Bitcoin is trading at around $70,700, showing a 5% increase in the last 24 hours. The positive price movement indicates growing confidence in Bitcoin among investors and traders. The overall sentiment towards Bitcoin seems to be shifting towards optimism, with many expecting further price gains in the near future.
The recent decrease in Bitcoin holdings on Coinbase has sparked hope for a potential price surge in the cryptocurrency market. With investors choosing to hold onto their assets rather than sell, the short-term pressure on Bitcoin has eased, paving the way for a possible uptrend. The positive inflows into Spot Bitcoin ETFs and the overall bullish sentiment towards Bitcoin suggest that the cryptocurrency could be on the brink of reaching new heights. Investors are advised to conduct their own research and consider the risks before making any investment decisions in the volatile crypto market.
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