Cryptocurrency News Today: Bitcoin analysts show ‘apparent relationship’ between exchange flow and price

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Cryptocurrency News Today: Bitcoin analysts show ‘apparent relationship’ between exchange flow and price

There’s less Bitcoin BTC flowing in and out of Cryptocurrency exchanges lately, which indicates calm from those who’ve been keen to profit from its price movements — especially when compared to levels recorded in June and July.

In fact, the amount that traders have sent to major Cryptocurrency exchanges is now on par with the total being taken off-exchange, reports Delphi Digital in analysis shared with Hard Fork.

“It’s clear there were significant net outflows during the big rally in the second quarter of 2019, as bullish sentiment really started picking up and individuals were moving Bitcoin off exchanges because they had no intention of selling in the immediate future,” said the firm.

When the price goes down, so do Bitcoin deposits

42% of ‘inflowing’ Bitcoin during July and August went to Binance

Delphi Digital also charted the cumulative daily inflow of Bitcoin into prominent Cryptocurrency exchanges Binance, BitMEX, Bitfinex, Poloniex, Bitstamp, and Bittrex.

The firm found that more than 42 percent of the total volume sent to these exchanges in August and July ($4.4 billion) went directly to Binance.

“The relationship between Bitcoin price and flows is pretty apparent. Price rallies were typically accompanied by sizable inflows to exchanges as individuals looked to take profit,” said Delphi Digital.

Large Bitcoin deposit volume could lead to market

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