Bitcoin (BTC) exchange supply is a measure of the number of cryptocurrency units that can be easily traded, and has been steadily declining over the past month, with trends accelerating after BTC exceeding $100,000 on May 9th.
On May 13th, 2.46 million BTC was held on the exchange for each data obtained from the Crypto Market Intelligence Platform. Encryption – About a month ago, on April 14th, the exchange supply reached 2.56 million Bitcoin. That is, 3.9% of the BTC held on the exchange was withdrawn within a month.
When cryptocurrency is withdrawn from the exchange, the most common destination is a private wallet intended for long-term storage. Not only does it demonstrate long-term bullishness, this tends to reduce sales pressure.
Reduced Bitcoin Exchange Supply and Bullian metrics show that the current BTC slump is temporary
The rally has cooled considerably, just as Bitcoin’s short-term performance was impressive. At the time of pressing, BTC had changed hands at a price of $103,260, with weekly returns of 6.51%. However, in the last 24 hours, cryptocurrency was only 0.10% in green, a 1.5% drop from its daily high of $104,840.
The outlook for BTC testing support at $100,000 remains a clear possibility, but the broader crypto market recovery and positive price action from stocks will rarely fall below support.
Conversely, several strong bullish factors are active. Moves over $100,000 have reached a three-month high on the measure of open interest, derivatives position. Speculative trading is moving towards the bullish side as the short positions of around $20 million were settled between May 13th and May 14th alone.
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