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February 24, 2024

Bitcoin (BTC) Witnesses Largest Weekly Net Outflow off Centralized Exchanges in Eight Months: IntoTheBlock

By Daily Hodl Staff

Bitcoin (BTC) flew off centralized exchanges this week at its highest level since June 2023, according to the crypto analytics firm IntoTheBlock.

In a new analysis, Lucas Outumuro, IntoTheBlock’s head of research, tracked the top crypto asset’s netflows, which measure the Bitcoin moving in and out of centralized crypto exchanges by subtracting the amount of BTC’s withdrawals from its deposits.

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Outumuro notes that $540 million worth of Bitcoin netflows left centralized crypto exchanges this week, the largest weekly net outflow total in eight months. IntoTheBlock interprets the movement of BTC out of crypto exchanges as a bullish sign for the top crypto asset.

Bitcoin’s fees dropped by 32.2%, with Outumuro citing the “decay” of ordinal-related activity. The analyst says that fees indicate the willingness to spend the asset, as well as the demand to use it.

Source: IntoTheBlock

Outumuro also notes that $370 million worth of Ethereum (ETH) netflows departed centralized exchanges this week, marking seven consecutive weeks of net outflows for the smart contract platform. Meanwhile, ETH’s fees dropped by 14.6%.

BTC is trading at $50,850 at time of writing. The top-ranked crypto asset by market cap is down around 2.5% in the past seven days.

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ETH is trading at $2,928 at time of writing. The second-ranked crypto asset by market cap is up more than 4% in the past week.

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