Arikato

📉 Ethereum & Bitcoin Hit Historic Lows on Exchanges: What It Means
A crucial new report from Santiment reveals a fascinating and significant trend in on-chain data:

🔸 Ethereum's supply on centralized exchanges has plunged to an all-time low.
🔸 Bitcoin's exchange balance has hit its lowest point since November 2018.

🧠 Why is this significant for the market?
When large amounts of crypto assets move off exchanges:

✅ Holders are not planning to sell anytime soon, indicating long-term conviction.
✅ This signals a strong trend of long-term accumulation (HODL behavior).
✅ There's growing interest in staking and secure cold storage.
✅ The overall available supply on the market decreases.

⚠️ Crucially, this means that even a minor surge in demand could lead to a liquidity crunch and a sharp increase in prices. This effect is amplified amidst positive news, market hype, or new capital inflows.
📌 Historical Context: Similar movements were observed in 2020 and early 2021, just before the start of powerful bull rallies. We are now seeing a comparable pattern emerge.
🔍 What Does This Mean for Traders & Investors?
📊 Decreasing exchange supply + increasing holding interest =
💥 Significant upside potential with the slightest catalyst.
💼 A scenario that frequently plays out in the early phases of a new market cycle.
📈 This trend is particularly relevant given:

Expectations of new inflows into crypto ETFs.
Potential easing of monetary policy by the Federal Reserve.
Growing institutional interest, especially in Ethereum.

🧭 Summary:

📉 Exchange balances for both Ethereum and Bitcoin are rapidly declining.
🔥 This could be the "fuel" for the next major market surge.
📆 Keep an eye on upcoming events and demand levels – the market is gearing up for a move.

💰 Bitcoin Illiquid Supply Hits All-Time High Above 14 Million BTC
A significant milestone has been reached on the Bitcoin chart: the Illiquid Supply has climbed to a new record level of over 14 million $BTC . This crucial metric indicates that more than 66% of the total circulating Bitcoin supply is held in wallets with very little history of sending coins out.
📊 Understanding the Trend:
Data tracking illiquid supply, often visualized alongside the BTC price, shows the volume of Bitcoin held in wallets where coins are rarely moved.
📈 Accumulation Strong Since 2023:
Since the beginning of 2023, the trend of accumulation has notably accelerated, demonstrating strong holder conviction despite market volatility.

💡 What This Accumulation Means:

❄️ "Frozen" Coins: It signals increasing confidence among long-term holders and investors who are holding onto their BTC.

🔐 Moving Off Exchanges: A larger amount of BTC is being withdrawn from exchanges and potentially moved into secure cold storage.

💥 Supply Shock Potential: With a significant portion of supply becoming illiquid, even modest increases in demand can lead to considerable price surges due to reduced selling pressure.

📌 Historical Context:
Previous peaks in illiquid supply have historically preceded significant Bitcoin price rallies, notably in 2020 and early 2021.
Conversely, a sharp decline in this metric during 2022 coincided with the onset of the "crypto winter."
The current upward trend underscores that the market is firmly back in a phase of accumulation and long-term holding by a large segment of participants.

https://www.binance.com/copy-trading/lead-details/4407293951049601537?ref=476065916