Record BTC outflow at Binance since 2023 amid Bitcoin rally

Binance has recorded the largest daily Bitcoin outflow in three years. In a single day, more than 13,800 BTC left the platform, while Bitcoin has been rising for weeks. Analysts see this as a sign that investors prefer to hold their coins themselves rather than keep them on an exchange, which could reduce selling pressure on the market. At the time of writing, the Bitcoin price is around $84.200.

Bitcoin is available at OKX and Bybit.

In brief:

• Binance recorded a single-day outflow of more than 13,800 BTC, the highest daily figure since 2023.
• In four days, Bitcoin reserves on Binance fell from 705,000 to 685,000 BTC.
• The analyst attributes the outflow to FOMO among late-entering investors and a broader accumulation trend.

Largest outflow in three years at Binance

Binance, the platform that manages around 30% of all Bitcoin available to the general public, saw a substantial amount of Bitcoin leave in a short period. Over the past week, the average daily net outflow was already 2,000 BTC, but this was surpassed by a record day on which more than 13,800 BTC left the platform.

In total, Bitcoin reserves on Binance fell from 705,000 to 685,000 BTC in four days. That is a decrease of 20,000 BTC in less than a week.

Rally of 45% since the July peak

The outflow wave is taking place during a notable advance by Bitcoin. Since the peak in July, the price has risen by around 45%. An important moment in that rally was the closing of the price above the May high of $82.000 for several consecutive days, which analysts see as a structural signal. The breakout above that May level had already surprised several analysts.

Also, the total crypto market capitalisation recently broke above the May high, confirming the broader recovery.

FOMO or long-term accumulation?

When large amounts of Bitcoin are withdrawn from exchanges, it generally means that owners want to hold their coins themselves. That behaviour is more common among investors with a long-term horizon than among people who want to sell quickly. Fewer Bitcoin on exchanges also means less direct selling pressure.

Analyst Darkfost suggests that the sudden outflow wave could also point to FOMO among investors who waited a long time for a further price decline, as happened in earlier bear markets. Now that the price continues to rise, they are entering after all and quickly moving their Bitcoin off the platform. According to the analyst, it is not unlikely that such moments will continue to repeat as long as Bitcoin remains in an uptrend. The bull market is now also being confirmed by other signals.