Bitcoin
$61,265.29-1.90%
Ethereum
$2,977.20-1.40%
Binance Coin
$590.55+1.89%
Solana
$142.12-4.69%
XRP
$0.51813270-1.16%
Dogecoin
$0.14380928-4.72%
Toncoin
$5.80+2.33%
Cardano
$0.45236966+2.34%
Shiba Inu
$0.00002254-2.58%
Avalanche
$34.05-3.79%
Tron
$0.12335060+2.05%
Polkadot
$6.99-0.29%
PlayIconNav
Crypto Prices CoinDesk 20 Index CoinDesk 20 Index
Consensus Prices Go Up InAll Pass Types Are Increasing
00
DAYS
19
HR
41
MIN
41
SEC
Markets

Bitcoin Worth $1B Leaves Exchanges in Largest Single-Day Outflow in 12 Months

Net outflows from exchanges are often taken to represent investors' intention to hold coins for long-term.

By Omkar Godbole
AccessTimeIconDec 29, 2023 at 7:19 a.m. UTC
Updated Mar 8, 2024 at 7:14 p.m. UTC
Bitcoin: Net exchange flows
Bitcoin: Net exchange flows
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

On-chain activity continues to support the bullish case in bitcoin.

On Wednesday, just over 28,000 BTC worth $1.19 billion left centralized exchanges, the largest single-day outflow in BTC terms since Dec. 14, 2022, according to data tracked by blockchain analytics firm Glassnode.

Net outflows from exchanges are often taken to represent investors' intention to take direct custody of coins or preference for a long-term holding strategy.

The Nasdaq-listed Coinbase, which is the custodian for nine of the 12 proposed spot BTC exchange-traded funds (ETFs) in the U.S., alone saw an outflow of over 18,000 BTC on Wednesday, per analytics firm CryptoQuant. (Almost a day after this story was initially published, Coinbase CEO Brian Armstrong posted on X regarding this statistic: "This is false. Way off from our internal data.") That has the crypto community on social media platform X speculating about institutional activity ahead of an expected ETF launch in early January.

The overall BTC balance in wallets tied to centralized exchanges has dropped to 2,327,025 BTC, the lowest since April 2018. Other things being equal, fewer coins on an exchange mean weakening supply-side pressures and potential for price appreciation.

Bitcoin changed hands at $42,700 at press time, up 158% on a year-to-date basis, CoinDesk data show.

UPDATE (Dec. 30, 2023, 04:27 UTC): Adds Coinbase CEO Brian Armstrong's statement about the CryptoQuant data.

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Omkar Godbole
Omkar Godbole

Omkar Godbole is a Co-Managing Editor on CoinDesk's Markets team.

Follow @godbole17 on Twitter

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.