Bitcoin exchange inflows plummet to near two-year lows, suggesting dwindling sell-side pressure and setting the stage for a potential market rebound.
The tide may be turning for Bitcoin as a stark decline in exchange inflows hints at a market starved of sellers and ripe for a comeback.
Data from on-chain analytics platforms reveals that the seven-day average of BTC sent to major exchanges has plummeted by 64% since November, sinking to levels last seen in May 2023. Back then, Bitcoin traded below $30,000; today, it hovers above $84,000, defying expectations of a prolonged sell-off.
“Sellers have dried up,” declared Axel Adler Jr., a CryptoQuant contributor, in a recent analysis. “Welcome to the zone of asymmetric demand.” The numbers paint a clear picture: daily sell pressure on top exchanges has collapsed from 81,000 BTC to just 29,000 BTC, a drop that has analysts cautiously optimistic.
The trend suggests that the market has absorbed waves of profit-taking after Bitcoin’s brief surge past $100,000 in late 2024. Now, with inflows at multiyear lows, the stage could be set for a supply squeeze. “April-May might just be the calm before the next impulse,” Adler added.
Even Binance, typically a hotspot for trader activity, shows unusual restraint. Short-term holders are sending just 6,300 BTC to the platform a fraction of the 24,700 BTC average seen elsewhere. “This isn’t panic,” noted Joao Wedson of Alphractal. “It’s a neutral stance, almost like the market is holding its breath.”
For Bitcoin, a coin long battered by volatility, the silence of sellers could be the quiet before a storm or the lull before a leap. Either way, the charts are whispering: the next move might not be down.
