Key Points
- Bitcoin (BTC) whale net flow shows a shift from outflows to inflows, indicating increased accumulation by large holders.
- U.S. spot BTC exchange-traded funds are witnessing increasing investor interest, driving Bitcoin’s bullish momentum.
Bitcoin’s on-chain data reveals a significant drop in outflows from large holders, as the leading cryptocurrency maintains a level above $68,000.
Data from IntoTheBlock points to a change in the Bitcoin (BTC) whale net flow from an outflow of 1,650 BTC on October 17 to an inflow of 211 BTC two days later. This shift suggests that large holders are accumulating more of the cryptocurrency.
Whale Accumulation Intensifies
CryptoQuant CEO Ki Young Ju has corroborated this increase in accumulation. According to his data, new whale addresses holding at least 1,000 BTC had over 1.97 million coins, marking an 813% increase since the beginning of the year.
Increased Interest in BTC Exchange-Traded Funds
One of the main factors contributing to Bitcoin’s bullish trend is the growing interest from investors in U.S.-based spot BTC exchange-traded funds. These investment products experienced an inflow of $2.1 billion in the previous week, pushing the total net inflows over the $21 billion threshold.
Furthermore, IntoTheBlock’s data reveals that Bitcoin exchange net flows stayed negative for the third day in a row, registering a net outflow of over 2,300 BTC, or $157 million, on October 19. This increase in exchange outflows usually suggests a decrease in selling pressure. However, short-term profit-taking is still anticipated given that Bitcoin’s price is nearing its all-time high of $73,750.
Bitcoin’s price has been fluctuating between $68,000 and $68,600 over the last day. The cryptocurrency’s market cap stands at $1.35 trillion, with a daily trading volume of $13.8 billion, a decrease of 55%. A drop in trading volume might result in lower price volatility for the leading digital asset.