According to CryptoQuant, Bitcoin deposits to centralized exchanges have decreased, which alleviates some sell pressure. However, large investors or 'whales' continue to deposit coins to exchanges. The 'Exchange Whale Ratio' indicates that a significant portion of Bitcoin exchange inflows comes from the top 10 largest deposits. Analysts at CryptoQuant suggest that Bitcoin's 'ultimate bear market bottom' is around $55,000. Prediction market platform Myriad indicates a 57% chance that Bitcoin will fall to $55,000 before it rebounds to $84,000.
A decrease in Bitcoin deposits to centralized exchanges has reduced sell pressure on the cryptocurrency. However, a report from CryptoQuant indicates that large investors, known as whales, are still actively depositing Bitcoin on exchanges. On February 6, Bitcoin deposits on exchanges were around 60,000 BTC, but have since fallen to an average of around 23,000 BTC over the past week.
The 'Exchange Whale Ratio' from CryptoQuant, which compares the top 10 inflows to the total deposits, has reached its highest level since 2015 at 0.64, suggesting that 64% of all Bitcoin exchange inflows were made by the top 10 largest volume deposits, meaning large investors are selling.
Bitcoin reached $126,080 in October but has since fallen 46% to $67,582. CryptoQuant analysis suggests that Bitcoin's 'ultimate bear market bottom' is around $55,000. Myriad, a prediction market platform, indicates a 57% chance that Bitcoin will fall to $55,000 before it rebounds to $84,000.
Key Takeaways:
- Bitcoin deposits to exchanges have decreased, easing sell pressure.
- Large investors ('whales') continue to deposit Bitcoin to exchanges.
- CryptoQuant's analysis suggests a potential 'bear market bottom' for Bitcoin around $55,000.
- Prediction markets indicate a higher probability of Bitcoin falling to $55,000 before reaching $84,000.