Key Points
- Bitcoin’s price surpassed $67,000 due to increased outflows from exchanges and whale accumulation.
- Whale transactions and Bitcoin exchange-traded funds’ inflows in the U.S. have also contributed to the price increase.
Bitcoin’s price has once again exceeded $67,000. This surge is attributed to a rise in outflows from centralized exchanges and an increase in accumulation by large Bitcoin holders, also known as whales.
Outflows and Accumulation
Data from IntoTheBlock reveals that Bitcoin (BTC) exchange net flows experienced two days of inflows on October 20 and 21, which resulted in a price drop from the local high of $69,400. However, on October 22 and 23, the trend reversed to outflows. According to the same data, BTC recorded a net outflow of $581 million over the past week, indicating an accumulation phase.
Whale Activity
Whales, or large Bitcoin holders, began selling Bitcoin on October 21 when 94% of the holders were in profit. The data also shows that this trend among large holders is now declining. Bitcoin whale addresses recorded a net inflow of 165.5 BTC, worth approximately $11.15 million, yesterday. Notably, the total value of Bitcoin whale transactions exceeding $100,000 worth of BTC surpassed the $100 billion mark over the past week. This high level of whale activity and accumulation could potentially spark widespread interest in buying Bitcoin.
At the time of writing, Bitcoin’s price has risen by 0.3% in the past 24 hours and is currently trading at $67,350. The market cap of the asset is at $1.33 trillion, with an 18% increase in its daily trading volume, reaching $35 billion.
Another factor contributing to Bitcoin’s bullish trend on Wednesday was the increased inflows into spot BTC exchange-traded funds in the U.S. These investment products saw a net inflow of $192.4 million on October 23, with BlackRock’s iShares Bitcoin Trust ETF leading the way.
