Bitcoin (BTC) exchanges have seen huge volumes this month as the price drop has sparked renewed interest in trading.
Data from sources including on-chain analytics firm Glassnode shows that exchange flows have reached their highest levels since March 2020.
“The smell of volatility in the air”
On September 14, more than 236,000 BTC made its way to 11 major exchanges tracked by Glassnode.
It was the biggest one-day rally since the chaos surrounding Bitcoin’s dip to just $3,600 in March 2020.
Total bitcoin transfer volume to exchanges chart. Source: Glassnode
The sell-offs in May 2021 and May and June of this year failed to match the number, indicating that more bitcoin investor base is currently aiming to reduce exposure.
Separate data from analytics firm Santiment covering both centralized and decentralized exchanges puts the total inflow figure for the week to September 13 at 1.69 million BTC.
“This was the highest amount of $BTC transferred since October 2021,” she added in the Twitter comments.
With BTC/USD dropping to nearly $19,600 this week, meanwhile, some “extraordinary” signals have been coming from interactions with exchanges from both larger and smaller dealers, according to commentator David P. Ellis.
The action follows the strange movement of long-dormant coins at the beginning of September, an event initially attributed to the now defunct exchange Mt. gox.
Miners slow down bitcoin sales
Going back to the exchanges themselves, Glassnode notes that exchange balances have increased by about 80,000 BTC since the end of August.
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Miners, who in August ended their “capitulation” period in a bullish sign for the market, have continued to sell their holdings throughout recent weeks.
Bitcoin miner net change position chart. Source: Glassnode
However, the trend is towards miners getting back the net BTC they earn.
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