On-chain data shows that cryptocurrency exchange Gemini noticed around 10k BTC in inflows yesterday as the price of Bitcoin dropped below $30K.
Bitcoin exchange inflows rose as the price of Bitcoin fell
As pointed out by an analyst at CryptoQuant MailIt appears that selling on exchanges such as Gemini, Binance, and Huobi was behind the latest drop in the cryptocurrency’s price.
The “exchange flow“It is an indicator that measures the total amount of bitcoin that moves to the wallets of all exchanges.
When the value of this metric goes up, it means that the exchanges are receiving a large number of coins at the moment.
This trend can be bearish for the value of the coin as investors usually deposit their cryptocurrencies on exchanges for selling purposes.
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On the other hand, low flow values can indicate that a good amount of selling may be going on in the market. Depending on the value of the outflows (the opposite indicator), this type of trend can be neutral or bullish for BTC price.
Now, here is a graph showing the trend in bitcoin exchange flows over the past two weeks:
It seems like Gemini saw the heaviest amount of inflows yesterday | Source: CryptoQuant
As you can see in the above chart, the bitcoin exchange flow rose to high values yesterday as the cryptocurrency price dropped below $30K.
In the chart, Quantum also included data for individual contributions from crypto exchanges Binance, Huobi, and Twinsto the total inflows.
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It appears that both Binance and Huobi saw inflows of 1k to 1.2k BTC yesterday, while Gemini noticed a huge rally over 10k BTC.
This may indicate that of all the exchanges, Gemini has seen the largest bitcoin sell-off over the past 24 hours.
At the time of writing this report, Bitcoin price It is floating around $29.7K, up 5% in the past seven days. Over the past month, the cryptocurrency has lost 23% of its value.
The chart below shows the currency price trend over the past five days.
Looks the value of the crypto has plunged down over the last twenty-four hours | Source: BTCUSD on TradingView
Bitcoin appeared to gain some stability above the $31,000 mark over the past few days for the first time in about a month, but yesterday the price fell again.
At the moment, it is unclear if the sell-off is over, or if the cryptocurrency will fall further in the near term.
Featured image from Unsplash.com, charts from TradingView.com, CryptoQuant.com