BTC Price Dicey After FTX Fallout, Holder Behavior Changes
The price of most of the coins including Bitcoin incurred a great loss due to the collapse of the FTX exchange. After the recent fall on November 8, BTC has been following a downward trajectory. As of this writing, BTC trades at $16,572.4, a 0.5% dip in the past 24 hours. The weekly trading for the coin has also plunged by more than 20%.
The 51-day EMA of BTC shows turbulence happened on November 8, which made the coin steeply fall off the cliff. The current green candle is slightly far from the EMA line and if it touches the line, another outbreak would determine a possible surge or dip.
Meanwhile, the price of BTC is expected to witness another dip, according to on-chain data provider CryptoQuant.com. Earlier today, the platform tweeted: “Despite the relative gain in US stocks, Bitcoin lost a significant support level.” In the past week, the stock market signaled a rally, but BTC behaved differently as it tumbled in value.
Significantly, the support level below which BTC moved, was the all-time high of the previous cycle and there is “no record of the coin returning below this ATH.”
Worth noting, after the collapse of the FTX exchange, Bitcoin investors have been reportedly withdrawing coins to self-custody at a remarkable rate of 106,000 BTC in a month. On-chain data provider Glassnode reported this hike in BTC exchange outflow.
Following the collapse of FTX, #Bitcoin investors have been withdrawing coins to self-custody at a historic rate of 106k $BTC/month.— glassnode (@glassnode) November 13, 2022
This compares with only three other times:
– Apr 2020
– Nov 2020
– June-July 2022https://t.co/92aYVYU4Yt pic.twitter.com/em7CsDBWUf
As evident from the above graph, Glassnode compares 106k BTC withdrawals to periods such as April 2020, November 2020, and June-July 2022. All these time frames showed a high amount of BTC exchange outflow. Moreover, BTC all exchange balance reached -72.9k.
In another related tweet, Glassnode posted that the failure of FTX has reflected a very distinct change in BTC holder behavior across all cohorts.
This has resulted in positive balance changes across all wallet cohorts, from shrimp to whales.— glassnode (@glassnode) November 13, 2022
The failure of FTX has created a very distinct change in #Bitcoin holder behaviour across all cohorts. pic.twitter.com/HBKXf6XMZN
Also, the notable 106k BTC withdrawal has resulted in “positive balance changes” across all wallet cohorts, from shrimp to whales.
Disclaimer: The views and opinions, as well as all the information shared in this price prediction, are published in good faith. Readers must do their research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be held liable for any direct or indirect damage or loss.
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