{"id":27421,"date":"2022-11-11T16:32:13","date_gmt":"2022-11-11T11:02:13","guid":{"rendered":"https:\/\/coinswitch.co\/switch\/?p=27421"},"modified":"2022-11-11T16:32:13","modified_gmt":"2022-11-11T11:02:13","slug":"on-chain-metrics-signal-impact-on-bitcoin-prices","status":"publish","type":"post","link":"https:\/\/coinswitch.co\/switch\/news\/on-chain-metrics-signal-impact-on-bitcoin-prices\/","title":{"rendered":"On-chain metrics signal impact on Bitcoin prices"},"content":{"rendered":"

The price of Bitcoin witnessed signs of an uptick on 11 November. Positive US inflation data might have triggered an upmove despite the global crypto space reeling under the impact of the FTX fiasco. However, the worst might not be behind us yet as exchange inflow\u2014a reliable on-chain metric\u2014points to a worrying trend.<\/p>\n

As of 9 November, exchanges across the globe saw an inflow of 179,786 BTC, according to data from on-chain analytics platform Chainalysis. In fact, the number of BTCs flowing into the exchange is the highest in the last 57 days.<\/p>\n

\"Bitcoin<\/p>\n

Bitcoin exchange inflow and impact on Bitcoin prices: Chainalysis<\/a><\/strong><\/p>\n

The increase in exchange inflow might mean that people holding BTC are looking to sell, primarily by sending bitcoin to exchanges. Another metric that needs our attention is the \u201cExchange Withdrawing Addresses.\u201d The metric concerns people who take their BTCs out of exchanges, hinting at long-term holdings, especially in hardware or cold crypto wallets.<\/p>\n

Data from Cryptoquant shows that \u201cExchange Withdrawing Addresses\u201d have dropped over the past week, meaning the concentration of exchange-adhering traders is more than long-term holders. This might be a worrying sign if you are concerned about BTC\u2019s short-term price action.<\/p>\n

\"Cryptoquant<\/p>\n

Exchange Withdrawing Addresses: Cryptoquant<\/a><\/strong><\/p>\n

Increasing exchange inflow and reduction in the withdrawing addresses are tell-tale signs that the Bitcoin price action might not be out of the woods, as of yet.<\/p>\n

But why are BTC holders exiting?<\/h2>\n

The liquidity crisis, courtesy of the FTX implosion, is forcing the hand of several BTC holders. Further, with the Bitcoin prices dropping due to weak sentimental drivers, miners are also facing a difficult situation. A note<\/a> shared by MAC_D\u2014a Cryptoquant contributor\u2014mentioned that mining volume is slowly depleting.<\/p>\n

The contributor added that there are many NASDAQ-listed mining pools<\/a> that are finding it hard to pay off their debts and might eventually contemplate selling their BTC holdings. Miners selling BTC can also be another reason for an increase in exchange inflow.<\/p>\n

These on-chain metrics can impact the Bitcoin prices in India and even across the globe. For now, BTC is trading at $17,361, up 4.13%, in the past 24 hours.<\/p>\n","protected":false},"excerpt":{"rendered":"

The price of Bitcoin witnessed signs of an uptick on 11 November. Positive US inflation data might have triggered an upmove despite the global crypto space reeling under the impact of the FTX fiasco. However, the worst might not be behind us yet as exchange inflow\u2014a reliable on-chain metric\u2014points to a worrying trend. As of […]<\/p>\n","protected":false},"author":76,"featured_media":27426,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_ayudawp_aiss_exclude":false,"footnotes":""},"categories":[7701],"tags":[6467,6536],"class_list":["post-27421","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-crypto","tag-news"],"acf":{"json_ld_schema":"\n[{\"@context\":\"https:\/\/schema.org\",\"@type\":\"FAQPage\",\"@id\":\"https:\/\/coinswitch.co\/switch\/us-stocks\/wall-street-jottings\/#FAQPage\",\"headline\":\"Wall Street jottings: A personal, guided tour to investing in US stocks\",\"keywords\":\"Personal Guide, US Investing, \",\"datePublished\":\"2022-07-22T13:28:55+05:30\",\"dateModified\":\"2022-09-19T19:04:28+05:30\",\"dateCreated\":\"2022-07-22T13:28:55+05:30\",\"author\":{\"@type\":\"Person\",\"name\":\"Ananda Banerjee\",\"description\":\"Ananda Banerjee is a creative copywriter at heart, a technical writer by profession, and a multifarious Web 3.0 creator in his leisure time. An ever-curious crypto connoisseur, he believes endless reading and purposeful learning are the keys to written and verbal specificity.\",\"url\":\"https:\/\/coinswitch.co\/switch\/author\/ananda-banerjee\/\",\"sameAs\":[\"A_B_boying\",\"https:\/\/www.linkedin.com\/in\/ananda-banerjee\"],\"image\":{\"@type\":\"ImageObject\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/acf35d8cc57009e7786c2fbd6b587f8d?s=96&d=mm&r=g\",\"height\":96,\"width\":96}},\"image\":[{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/coinswitch.co\/switch\/us-stocks\/wall-street-jottings\/#primaryimage\",\"url\":\"https:\/\/coinswitch.co\/switch\/wp-content\/uploads\/2022\/07\/Wall-Street-Jottings.jpg\",\"width\":\"1800\",\"height\":\"1080\"},{\"@type\":\"ImageObject\",\"url\":\"https:\/\/coinswitch.co\/switch\/wp-content\/uploads\/2022\/07\/Wall-Street-Jottings-1200x900.jpg\",\"width\":\"1200\",\"height\":\"900\"},{\"@type\":\"ImageObject\",\"url\":\"https:\/\/coinswitch.co\/switch\/wp-content\/uploads\/2022\/07\/Wall-Street-Jottings-1200x675.jpg\",\"width\":\"1200\",\"height\":\"675\"}]}]\n","json_ld_custom_schema":"","youtube_vodeo_url":"","seo":{"title":"","keywords":"","description":"","canonical":""},"blog_banner_image":false,"blog_coin":false,"download_the_app":{"button_value":"","button_url":""},"twitter_card":{"twitter_title":"","twitter_description":"","twitter_link":""},"maturity_tag":"","post_author":false,"guest_author":false,"hide_toc":true,"select_disclaimer":"Article Default Disclaimer","key_takeways":false},"post_mailing_queue_ids":[],"_links":{"self":[{"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/posts\/27421","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/users\/76"}],"replies":[{"embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/comments?post=27421"}],"version-history":[{"count":1,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/posts\/27421\/revisions"}],"predecessor-version":[{"id":27428,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/posts\/27421\/revisions\/27428"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/media\/27426"}],"wp:attachment":[{"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/media?parent=27421"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/categories?post=27421"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/tags?post=27421"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}