Bitcoin (BTC) liquidity has decreased as the overall bitcoin balance drops. BTC asset liquidity has hit a new low in the past six months. The promoters hence deemed it to be a bullish catalyst for BTC price.
Bitcoin price went through a drop of 40% in the past 90 days. But the analyst has something positive to say about it here, they believe that these recent events might boost the asset’s price. Bitcoin reserves on exchanges have hit a new low in the last six months by dropping to almost 10%.
Cryptocurrency exchanges currently have less than 2.363 million bitcoin which is around 100 billion dollars in Bitcoin. Which holds about 12% of the asset’s market funds. Considering it chronologically, a price rally goes around with the supply shortage and liquidity tightening in Bitcoin.
Although 2.363 million bitcoin is a critical division, it is 8.88% lower than the bitcoins numbers recorded on the exchange on 25th July 2021. There are an excessive number of crypto participants in the market, and there is less bitcoin on the exchange, resulting in less selling pressure.
As per the metric indications, the bitcoin exchange reserve went this low about 10 months ago in April 2021. Combined figures from Etherscan, Bituniverse, Chain.info, and Peckshield, presents that the exchange held by Coinbase in reserve has the most Bitcoin (BTC) which is 853,530 BTC.
According to the Glassnode data, Minor holdings dipped to negative on Feb. 5, 2022. This happened for the first time in Two months. Also, cryptoquant.com shows that somewhere around 1.86 million bitcoins are held by mining entities.
