Bitcoin [BTC] might see more signs of crowd capitulation as the world’s dominant token plunged to a new low of $15k for the first time in 2 years, Santiment observed.
The token’s address activity spiked to its highest level in over 6 months. The report cited the ongoing FUD and the diminishing trust in exchanges that have led to the preference for self-custody.
A week ago, a report by Glassnode shed light on this behavior revealing how BTC investors have been gradually moving their holdings to self-custody solutions following the collapse of the world’s second-largest crypto exchange FTX.
The analytical platform reported that Bitcoin exchange outflows had reached close to historic levels of 106,000 BTC per month in a tweet on November 13.
It was also mentioned that this had only occurred three other times, in April 2022, November 2020, and June/July 2022. On November 9, there were roughly 90,000 Bitcoin wallets receiving the asset.
Exchange outflows typically indicate a bullish sign that BTC is being held for the long run. In this instance, though, it seems to be the outcome of waning trust in centralized crypto exchanges.
As Glassnode noted, “positive balance changes across all wallet cohorts, from shrimp to whales” have been brought about by outflows.
“The failure of FTX has created a very distinct change in Bitcoin holder behavior across all cohorts.”
On the other hand, the president of El Salvador, Nayib Bukele, and founder of Tron cryptocurrency Justin Sun have announced to accumulate bitcoin at a pace of 1 BTC per day.
Bitcoin: “Buy The Dip” Reverberates Across Crypto Biggies
Founder of TRON blockchain Justin Sun echoed Buklele’s plan to purchase Bitcoin every day. The developments would infuse hope into the crypto industry, which has been plagued by the FUD bug.
Sun’s Tron DAO Reserve, a community-driven body that supports development on the Tron network, has bought millions in Bitcoin [BTC], Tron’s native token TRX, and tether [USDT] as collateral for its dollar-pegged stablecoin USDD.
Many prominent figures, like DOGE supporter Elon Musk, former whistleblower turned crypto advocate Edward Snowden, and trading analysts like Stockmoney Lizards, are now bullish on the biggest cryptocurrency, TronWeekly reported.