Bitcoin [BTC] Flows from Exchange and Miners Depict Bullishness

As the price of Bitcoin [BTC] continues to stall around $11,000, traders are actively looking to judge the market sentiments to analyse the next big move. The flow of Bitcoin in and out of exchanges, along with the mining pool transfers can be useful in analysing the market sentiments.

Exchange Deposits

The increase in deposits on exchanges is usually indicative of bearish sentiments among miners. Data analytics firm Arcane

Nevertheless, there are other factors causing this shift as well. The deposit displacement away from exchanges is accelerating as people are shifting to other methods of self-custody and storage.

Mining Pool Outflows

The outflow of Bitcoins from mining pools is also a potent indicator of the sentiments of the miners. Despite the surge in price, the outflow of miners has been lower than seen during April and May 2020.

These indicators are pointing to the fact that the hodlers and miners are not rushing to book profits yet. However, while the exchange deposits have been falling, the bull market is causing an increase in the assets held on assets. This corresponds to the new buying momentum in retail assets. Philip Gradwell, the Chief Economist at leading analytics firm, Chainalysis,

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