Since the end of May, the number of BTC stored in the wallets of centralized exchanges has continued to decline, with an average of 2,000 BTC being withdrawn from exchanges every day.
BTC balances on wallets of centralized exchanges have dropped to April levels this year, according to the latest report from analyst firm Glassnode. The researchers noted that during the bullish rally in BTC to almost $ 65,000, there was a decrease in the number of BTC in exchange wallets.
Glassnode analysts believe that most of the BTC then withdrawn from the exchanges was placed in the Grayscale GBTC Trust or accumulated by institutional investors on wallets, which led to a “constant net outflow from the exchanges.” However, when the price of BTC declined in May, this trend reversed – coins began to flow to cryptocurrency exchanges for sale. Now, the net volume of BTC transfers to trading platforms has decreased again, and the outflow from exchanges has increased.
“Based on the 14-day moving average, in the last two weeks we have seen an outflow of coins from exchanges – about 2,000 BTC per day,” the authors of the report write.
Net volume of transfers BTC to and from exchanges: Glassnode
According to the report, the share of on-chain transaction fees for deposits on exchanges fell to 14% last week of total fees after a brief peak to 17% in May. At the same time, on-net fees associated with the withdrawal of coins from exchanges have grown significantly – from 3.7% to 5.4% this month, which indicates a growing preference for saving on wallets over selling.
The decline in BTC balances on exchange wallets has coincided with an increase in capital flows to Decentralized Finance (DeFi) protocols over the past two weeks. According to DeFiLlama, the total value of cryptoassets blocked in DeFi protocols has grown by 21% since June 26 – from $ 92 to $ 111 billion.
According to other data from Glassnode, miners are accumulating BTC in wallets again for the first time since early June. Bitcoin hash rate is starting to recover after declining due to the closure of mining farms in China.
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