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- Whales moved $100M in BTC off exchanges, tightening supply.
- NVT ratio signals resilient network activity despite volatility.
- Short liquidations add fuel to bullish market momentum.
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Bitcoin [BTC] is once again showing signs of heavy accumulation as whales and institutions move aggressively off exchanges. Recent on-chain data highlights nearly $100 million in whale wallet inflows and a sharp drop in available supply on major platforms, raising the question: is Bitcoin setting up for its next breakout?
Exchange Outflows Point to Long-Term Storage
Data from CryptoQuant shows Bitcoin’s Exchange Netflow plunging by more than 18,600 BTC, a staggering 347% swing. Such activity typically signals investors shifting coins into cold storage rather than preparing to sell. Lower liquidity on exchanges often acts as fuel for price rallies, though extreme outflows can also amplify volatility if markets overheat.
For now, the trend suggests conviction among whales and institutions who continue to treat dips as buying opportunities.
NVT Ratio Shows Network Strength
Alongside exchange data, Bitcoin’s Network Value to Transaction (NVT) ratio remains resilient at 27.40, just 2% lower than recent readings. The NVT measures how well market capitalization is supported by transaction activity, and the current level reflects healthy on-chain usage.
This means Bitcoin isn’t just being hoarded — it is still actively moving across the network, reinforcing confidence that adoption and utility remain strong despite volatile trading conditions.
Short Sellers Face Mounting Losses
On the derivatives side, short traders miscalculated momentum. CoinGlass reports nearly $929,000 in short liquidations compared to just $234,000 in long liquidations. Bybit absorbed the largest share, showing that bearish bets were swiftly punished.
Liquidation imbalances like these often accelerate upward moves, as forced buybacks amplify bullish price swings. With shorts squeezed and supply tightening, momentum increasingly favors buyers.
Also Read: Bitcoin Has 70% Chance to Hit New ATH in 2 Weeks, Says Walter Bloomberg
From whale accumulation to resilient network activity and mounting short losses, Bitcoin’s current setup leans clearly bullish. Exchange outflows hint at tightening supply, while on-chain health suggests the network is far from weakening.
If these conditions persist, the next leg higher may not be far away — and whales appear determined to lead the charge.
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Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
