Bitcoin reserves on exchanges reach unprecedented lows since July 2018
Since March 2020, the number of Bitcoin held on exchanges has decreased from 3.15 million to 2.4 million
Crypto bear markets are known to be painful, but June was particularly difficult for crypto investors, as several factors led to a 37.9% drop in the Bitcoin (BTC) price. monthly since 2011.
As a result of the widespread weakness, most so-called Bitcoin “tourists” have now left the space, leaving only the most dedicated owners, according to blockchain analysis firm Glassnode.
Despite Bitcoin’s ongoing struggles and the fact that investors are currently facing the most difficult bear market in the industry’s history, several values suggest that the outlook is not as dire as some predict, and the crypto market holders’ base remains strong.
More and more Bitcoin is leaving the exchanges
Lately, investors have withdrawn their BTC from frantic exchanges. The collapse of the Earth ecosystem, the potential bankruptcy of Celsius, and the implosion of Three Arrows Capital are a clear reminder that cryptocurrencies must be stored in a cold wallet.
Since March 2020, the number of BTCs held on exchanges has decreased from 3.15 million to 2.4 million. A total of 750,000 BTCs have left the exchanges, of which 142,500 BTCs have been withdrawn in the last three months.
As platforms such as Celsius and Vauld began to suspend withdrawals, trading, and deposits, the desire to regain personal control over crypto-assets became a top concern for holders.
This can be considered positive for the long-term price, as subsequent surrenders are less likely when tokens are locked in wallets and are not readily available for sale on exchanges.
Retail investors are beginning to gain interest
Another encouraging event in the middle of the worst month in Bitcoin history is a growing interest from wallets holding less than 1 BTC.
These so-called “shrimp” wallets have been eagerly raising Bitcoin at a low price of 60,460 BTC per month. This accumulation is…