Amount of Bitcoins on Crypto Exchanges Falls by 32%: Report
Since the market crash on Black Thursday in March 2020, investors have been increasingly withdrawing their Bitcoins from crypto trading platforms.
This is evidenced by the Bitfinex exchange report, which shows that the amount of the cryptocurrency stored on exchanges has dropped by 32%, from 3.1 million to 2.1 million BTC.
Now, traders store about 11% of the market supply of digital currency on trading floors, compared to 17% back in the spring.
Analysts also noticed that the redistribution of funds between centralized and decentralized exchanges (DEX) is occurring, with hodlers choosing to store their currency offline and speculators looking to DeFi protocols.
Additionally, some Bitcoins have shifted to investment products catered to the cryptocurrency space.
Bitfinex reported that cryptocurrency funds were heavily replenished last week to the tune of $137 million, and over the course of four weeks, the amount has increased to a maximum of $742 million since the fourth quarter of 2021.
