The panic atmosphere that occurred after the collapse of the crypto money exchange FTX in November of 2022 caused a great increase in Bitcoin exits from Binance.
However, the effects of FTX were gradually erased, and the sharp outflows seen after FTX were reversed, setting a record for the total amount of BTC held in Binance's wallets.
As reported by Coindesk, Glassnode said that the amount of BTC held on Binance has increased sharply over the past four weeks.
Popular analytics firm Glassnode, which studies BTC movements, stated that Bitcoins held in Binance wallets have increased by 52,000 BTC in the last four weeks to 692,880 BTC.
Galssnode stated that this increase may be an indication that investors' trust in centralized exchanges such as Binance has started to increase again after the FTX collapse.
Evaluating this Bitcoin data from Glassnode, Matrixport research head Markus Thielen said that the sharp increase in BTCs held on Binance could be bad news for the market.
Speaking to Coindesk, Thielen said:
“Large amounts of Bitcoin moving into exchanges usually means these BTCs are available for sale.
We've seen old wallets that haven't been used for 10 years suddenly wake up and transfer Bitcoin.
This may be a sign that long-term holders of BTC think that $30,000 would be ideal for taking profits.”
Bitcoin, which rose to $ 29,460 after the positive data from the USA, continues to be traded at $ 29,295 at the time of writing.
*Not investment advice.