Bitcoin outflows from leading crypto trading platforms have been rising for the last two years. In a recent move observed by Whale Alert, a BTC holder executed a transfer worth $300 million from Coinbase.
The transaction, which was executed on 3 May 2022 at 22:50 UTC, is among the biggest crypto moves of May 2022. In a separate transfer on the same day at around 20:33 UTC, someone moved 7,794 Bitcoin from Coinbase to an unknown wallet.
The overall BTC balance on Coinbase has plunged in the past few months. According to a report published by Glassnode in March 2022, the Bitcoin balance on Coinbase has dipped by almost 36% in the last two years.
Similar to Coinbase, the trend of BTC outflows was observed across different digital asset trading platforms. However, some crypto trading platforms like FTX and Binance have witnessed a jump in the overall BTC supply since the start of 2021.
Bitcoin Sentiment
The current negative sentiment around Bitcoin has pushed the price of the world’s largest crypto asset to its lowest level since February 2022. According to Glassnode’s weekly on-chain analysis report, the percentage of Bitcoin entities in profit has decreased recently.
“The current market structure for Bitcoin remains in an extremely delicate equilibrium, with short-term price action and network profitability leaning bearish, whilst long-term trends remain constructive. The capitulation of Long-Term Holders appears to be continuing, with further evidence and analytical colour added to this concept this week,” Glassnode noted.
“Whether macro forces and correlations with traditional markets drag BTC lower remains to be seen, however numerous fundamental indicators approaching noteworthy points of undervaluation. There is a constructive confluence across numerous macro indicators, ranging from technical analysis (Mayer Multiple) to coin lifespan analysis (Reserve Risk, VDD Multiple), and even fundamental network health and utilisation (RVT Ratio),” the company added.
