Bitcoin\u2019s most recent rally has sparked investor conviction rather than the sort of panic selling seen in previous bull cycles.<\/p>\n
Key on-chain metrics show a surprising trend: major holders aren\u2019t moving their crypto to exchanges despite prices hovering just below all-time highs.<\/p>\n
According to a July 23 post<\/a> by CryptoQuant analyst Arab Chain, the Bitcoin Flow Pulse (BFP) indicator shows an unusually low volume of BTC heading to exchanges, even after the cryptocurrency hit a record $123,091, per CoinMarketCap, indicating a strong belief in the sustainability of the uptrend.<\/p>\n Historically, spikes in BTC flowing into exchanges were usually signs of the intent to sell, increasing readily available supply, and often foreshadowing price drops. Arab Chain interpreted the absence of such a spike now as a bullish signal of strong hands holding firm.<\/p>\n Bitcoin\u2019s price journey reflects this tug-of-war between confidence and caution. While the asset is up 16.2% over the past month and 8.9% in two weeks, it has entered a consolidation phase since hitting its ATH nine days ago. Data from CoinGecko shows it was trading between $118,042 and $120,222 in the last 24 hours, but is facing resistance near $123,000.<\/p>\n Furthermore, technical analysis from CryptoVizArt suggests<\/a> there is potential for a deeper correction towards the $107,000 to $111,000 Fibonacci support zone if key near-term levels around $113,000 to $116,000 fail to hold.<\/p>\n Elsewhere, CryptoQuant also revealed there has been an uptick<\/a> in retail selling pressure, specifically on Binance. Inflows from smaller traders have jumped significantly on the exchange, and Net Taker Volume has turned negative, probably showing bearish sentiment among this cohort.<\/p>\n Meanwhile, deep-pocketed investors are hoovering up everything in the market. On-chain data shows that $200 million in BTC was withdrawn from exchanges yesterday, suggesting the heavy hitters are capitalizing on the aforementioned retail fear.<\/p>\n The divergence between the activities of these two classes echoes patterns seen earlier this year, when the flagship cryptocurrency rose from $78,000 to $111,000 within a few weeks.<\/p>\n The market is now balanced on a knife-edge. While the low exchange inflows indicated by the BFP hint at strong high-conviction holding, profit-taking<\/a> in some quarters and persistent retail selling have also introduced near-term headwinds that will need to be accounted for.<\/p>\n The post Analyst: Low Bitcoin Flow to Exchanges Points to High Market Confidence<\/a> appeared first on CryptoPotato<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Bitcoin\u2019s most recent rally has sparked investor conviction rather than the sort of panic selling seen in previous bull cycles. Key on-chain metrics show a surprising trend: major holders aren\u2019t moving their crypto to exchanges despite prices hovering just below all-time highs. The Confidence Signal According to a July 23 post by CryptoQuant analyst Arab […]<\/p>\n","protected":false},"author":0,"featured_media":83151,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-83150","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/83150"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=83150"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/83150\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/83151"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=83150"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=83150"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=83150"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Whales Accumulate, Outlook Uncertain<\/h2>\n