🔥 Premium AI-powered Stock Picks from InvestingPro Now up to 50% OffCLAIM SALE

Colossal $2.53 Billion Bitcoin Withdrawal Stuns Major Exchanges

Published 05/31/2024, 11:19 AM
Updated 05/31/2024, 02:30 PM
© Reuters.  Colossal $2.53 Billion Bitcoin Withdrawal Stuns Major Exchanges
BTC/USD
-
USDT/USD
-

U.Today - In the past 72 hours, about 37,000 Bitcoin (BTC), worth about $2.53 billion, have been taken out of cryptocurrency exchanges, as reported by Ali Martinez. This big move happened as Bitcoin’s price dropped by over 6.5%, going from $71,979 to $67,128 in the same period.

A lot of these withdrawals were from Kraken, a major centralized exchange based in the United States. Interestingly, Kraken allows the facilitation of many transactions in Tether (USDT) and Bitcoin, both directly and through over-the-counter (OTC) trades. This specification may suggest that large investors, or whales, are moving their assets, likely to various exchange pools or for potential use in ETFs.

This activity comes as the U.S. SEC has advised potential issuers of spot Ethereum ETFs to submit their amended Forms S-1 by today. The regulator will start its review process, which could lead to further amendments and possibly the approval of these financial products.

The large withdrawals and the SEC’s recent actions are seen as positive indicators for the market. When big money move Bitcoin off of exchanges, it often means they are choosing to hold their assets for the long term, which shows they have confidence in the cryptocurrency's value.

Also, the potential introduction of spot Ethereum ETFs soon could attract more institutional investors, which would make the market more legitimate and appealing.

While there is still some uncertainty, the overall outlook is optimistic. These significant Bitcoin withdrawals, combined with regulatory progress, suggest a strengthening market environment for cryptocurrencies.

This article was originally published on U.Today

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.