Hello my fellow bloggers! BTC and ETH supply on exchanges hits the lowest point in a couple years. What it means for the market, let’s dive in and find out!
If you are following exchanges statistics, you have already found the main trend of recent days. Stable coins are moving to exchanges at very high rates. Tether is printing more and more USDT (1.2 billion in past 2 days) and all new tokens go straight to exchanges and whales wallets. At the same time, BTC is rapidly moved out of exchanges:
Source
ETH chart shows exactly the same. ETH supply on exchanges is at 16 month minimum. The question is what does it mean for us?
Will the price rise?
If this trend will continue for a few days/weeks we will see significant gains for BTC and altcoins. However, I don’t think it will last for long. When the price will hit certain limit we will see more whales and institutional holders taking profits. This will reverse the trend for while. Yet in a short tem we can expect the sea of green.
It will be harder to buy BTC soon?
Definitely no. It will be more expensive to buy some BTC, but not harder. Crypto market is a free market after all. Supply and demand will always balance themselves. Yet for whales and institutional investors it will be harder to get a solid position in BTC. This is yet another argument for BTC price to go to new heights.
In other words, if you are not a BTC whale, supply shortage will not hit you. If you are a BTC holder, it will help you to take more profit from this market.
Disclaimer
I’m not a financial of any kind. I encourage you to check all information yourself and make decision only based on your own opinion. All articles are created for solely entertainment purpose.
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Solid and easy to understand. Supply v Demand! Thank you.
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