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Bitcoin Bearish trend continues as BTC Whales Deposit to Exchanges
- Exchange whale ratio at a position that indicates bearish action
- A major portion was deposited into the US-based crypto exchange Coinbase.
- Popular Altcoins experienced significant outflows during the week.
The leading crypto coin is selling just below $30,000, and CryptoQuant CEO Ki-Young Ju is pointing to a possible catalyst driving Bitcoin’s selling pressure.
On-chain analysis firm CEO pointed to the exchange whale ratio. This chin indicator tracks the Big Whigs investors by dividing the top 10 BTC transactions by the total amount of BTC sent to crypto exchanges. Ki-Young Ju said that the ratio is at a position that indicates bearish action.
Bitcoin selling pressure is very high
Ki-Young Ju added that BTC selling pressure is very high, and Whales are depositing their Bitcoin into exchanges. If the ratio remains above 85%, then the possibility of a bearish market is very high. According to the on-chain insights firm, a significant portion of these deposits goes into the US-based crypto exchange Coinbase.
Major spikes in other exchanges also.
CryptoQuant further added that massive BTC inflows into the crypto exchanges started on July 16th. It indicated that deep-pocket investors were beginning to unload their Bitcoin holdings. CryptoQuant also poured over BTC reserves in other exchanges and found a significant spike up.
Cryptocurrency prices continued to struggle on Monday and failed to achieve any gains over the weekend. Major Cryptocurrencies have been under severe pressure for over a week due to a lack of positive developments.
The number one cryptocoin, Bitcoin, continued to be in the range below $32,000 and was down 0.68%, and its market capitalization currently stands at $594 billion.
Its closest competitor, Ether, fared no better and was struggling during the week. It was trading under $1,900, down 3 percent from its price 24 hours ago. Ether’s market capitalization has increased slightly to $221.33 billion but is nowhere near the heights it touched earlier this year.
Other popular Altcoins, including Litecoin, Chainlink, Polkadot, Cardano, Stellar, Dogecoin, and XRP, have all experienced significant outflows during the week.
Edul Patel, CEO, and Co-founder of Mudrex, a crypto trading platform, summarized the present state of the crypto market. They said that the bearish sentiment is prevailing across the cryptocurrency spectrum, and the sentiments show no signs of waning and continue to drag the prices of crypto coins down. At the end of the previous week, the bears are still going strong and haven’t lost their steam yet.
Patel added that several altcoins are also moving towards their lows for the year. So even if it might seem a good bargain, the CEO of the crypto trading platform asked investors to be careful before they invest in altcoins. Patel compares investing in altcoins presently to catching a falling knife.
However, Bitcoin is less impacted and has remained steady for most parts of the week at the $31,500 mark, with a meager 1.4% drop for the day. At the time of writing, Bitcoin is trading at $29,621, down 6.33% in the last 24 hours, according to CoinMarketCap.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
