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Bitcoin and Ethereum’s latest ‘exodus’ has this meaning for investors

2min Read

In a whirlwind week, Bitcoin and Ethereum said goodbye to exchanges, saw surging volumes, and presented contrasting narratives for their holders.

Bitcoin and Ethereum's latest 'exodus' has this meaning for investors

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  • Bitcoin and Ethereum recorded significant outflows over the last 7 days
  • While BTC noted a positive 30-day MVRV, ETH’s was negative

Bitcoin and Ethereum embarked on an action-packed journey over the past week, as indicated by a recently observed metric. Nevertheless, investors in the top two cryptocurrency giants saw divergent outcomes in terms of their returns.


Read Bitcoin (BTC) Price Prediction 2023-24


More Bitcoin and Ethereum leave exchanges

As per data from IntoTheBlock, Bitcoin and Ethereum noted significant outflows from all centralized exchanges over the past week. The combined value of these outflows hit an impressive sum of nearly $200 million. A closer analysis of the flow dynamics, using insights from CryptoQuant, vividly illustrated the magnitude of assets exiting the exchanges.

In the case of Bitcoin, a striking highlight emerged when examining the exchange netflow – A substantial spike that occurred at the close of the preceding week on 14 October. This spike marked the highest outflow witnessed throughout the entire year. While outflows continued to dominate, there was a noteworthy shift in the pattern as minor inflows started making their presence felt at the time of this report.

Bitcoin Netflow

Source: CryptoQuant

Additionally, Ethereum saw a similar trend in its flow pattern, with outflows maintaining a dominant position. However, there was a noticeable interruption in this pattern on 20 October. And yet, as of the latest update, the prevalence of outflows has once again taken the reins in the ETH exchange flow landscape.

Ethereum Netflow

Source: CryptoQuant

Divergence, but obvious volume movements

Examining the volume metrics shared by Santiment, it is evident that both Bitcoin and Ethereum saw noticeable volume movements. Bitcoin, for instance, recorded an impressive volume of over $28 billion over the week.

At the time of this update, the volume had fallen to approximately $18 billion, which was still notably close to the highest volume it had seen in September. 

Bitcoin and Ethereum volume

Source: Santiment

While Ethereum’s trading volume was not as significant as Bitcoin’s, it still displayed a noticeable spike. In fact, Ethereum’s volume has been hovering around $6 billion. Despite the variance in the volumes of these two cryptocurrencies, a common inference can be drawn – There was a substantial presence of heightened trading activity in both markets.

Holders tell different tales

Short-term Bitcoin holders have witnessed a positive development in their holdings, as highlighted by the 30-day Market Value to Realized Value ratio (MVRV). This metric revealed that BTC had hit a figure of approximately 6.6%. This signalled that holders have been in profit of over 6%. 

BTC and ETH 30-day MVRV

Source: TradingView


– How much are 1,10,100 ETHs worth today


On the other hand, Ethereum holders did not share the same fortune. Even so, while they are still holding at a loss of less than 1%, there has been a noticeable improvement in the 30-day MVRV.

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Adewale is a full-time journalist at AMBCrypto. While he is increasingly fascinating by the world of blockchain and cryptocurrencies, Adewale holds a degree in International Relations. Besides working on insightful articles that touch upon the crypto-space's hottest issues, he finds joy in supporting Manchester United and Afrobeat music.
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