On-Chain Data: Bitcoin Whales Buy The Dip As BTC Drops To $39k

On-chain data shows a sharp spike in the Bitcoin exchange outflows, suggesting whales have been buying the dip to $39k. Bitcoin Exchange Outflows Show High Value Suggesting Whale Activity As pointed out by an analyst in a CryptoQuant post, the BTC exchange outflows have registered a large spike recently. The “exchange outflows” is an indicator that measures the total amount of Bitcoin currently exiting wallets of all exchanges. When the value of this indicator is high, it means investors are withdrawing a large amount of coins at the moment. Especially large values can imply whales have been buying. Such a trend, when sustained, may be bullish for the price of the coin as investors usually transfer their crypto out of exchanges for accumulation purposes. On the other hand, low outflow values suggest there isn’t much buying going in the market right now. This could either be neutral for the price, or if selling is going on, then it may be bearish. Related Reading | Bitcoin Miners Receive Third Break This Year, Over 100K Blocks To Go Until The Halving Now, here is a chart that shows the trend in the BTC outflows over the past year: The indicator's value seems to have observed a large spike recently | Source: CryptoQuant As you can see in the above graph, the Bitcoin exchange outflow has shown a big value recently as the price has fallen below the $40k mark. This suggests that whales may have jumped at...