The supply of BTC held on exchanges has hit its lowest point since January, suggesting the worst of the coin’s selloff is over, according to data from crypto analytics firm Santiment.
- Santiment tweeted yesterday: “The 6-month low is a promising sign, as it generally will indicate there is a decreased risk of more major $BTC selloffs.”
- Bitcoin saw a massive selloff in late May, likely driven by a slew of bad news for the market, including crackdowns on crypto mining in China and exchange Huobi scaling back its crypto offerings as a result.
- Exchange flow data is often used to predict crypto coins’ price trajectory. Compared to what can be seen now, Santiment’s graph shows a sharp increase in the amount of Bitcoin held on exchanges in May, right before the biggest selloff since its slump in March 2020.