The number of bitcoins held on exchanges has continued to decline lately as the metric suggests crypto advocates are withdrawing funds from trading platforms for long-term holding. At the time of writing, 2.32 million bitcoins worth over $90 billion are held on centralized cryptocurrency exchanges.
Since this time last year, large sums of Bitcoin continue to be withdrawn from centralized exchanges
Bitcoin is being removed from exchanges in greater numbers these days as the metric shows the amount – 2.32 million Bitcoin (BTC) held today – hasn’t been this low in over three years. In fact, three years ago, in March, the number of BTC stored on various trading platforms was larger, with approximately 2.73 million bitcoins held. Additionally, in the aftermath of the infamous “Black Thursday” of March 11, 2020, exchanges held just over three million BTCaccording to from cryptoquant.com metric.
Over the past few weeks, crypto asset prices have been lower and exchange balance metrics really started to drop in August 2021. Today, Coinbase is the largest balance holder in terms of bitcoin with 853 530 BTC according to bituniverse Statistics. Bituniverse uses data from peckshield.com, chain.info and etherscan.io. The Transparent Balance Rank tool also measures Ethereum (ETH) and tether (USDT) sales.
Below Coinbase’s balance, Binance holds $18.94 billion in crypto assets. Binance has over 340,000 BTC according to current measures and 3.59 million ETH as well as. Additionally, Binance holds 1.24 billion tethers of stablecoins. Beneath the $44.5 billion held by Coinbase and the reserves held by Binance are Huobi Global’s vaults with $16.12 billion in crypto reserves. Huobi Wallets says the exchange holds over 160,000 BTC and 2.13 million Ethereum.
Crypto funds leaving exchanges are often seen in the crypto space as a good sign for two reasons. On the one hand, the trend suggests that owners are unwilling to sell their bitcoin just yet. This means there are less funds in the market for whales to throw away and liquidity is also drying up. Moreover, in the world of cryptocurrency assets, the golden rule is to hold your own keys and the trend might also suggest that users are taking this advice more seriously.
What do you think of bitcoin balances on exchanges today and how they are currently at a three-year low? Let us know what you think about this topic in the comments section below.
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