Crypto markets show ‘quiet strength’ as bitcoin exchange balances reach multi-year lows: analysts
Bitcoin shows quiet strength as exchange balances hit 2017 lows, while Ethereum leads majors amid network growth and positive ETF inflows.Summary
Despite muted spot momentum, Bitcoin is exhibiting 'quiet strength' as analysts note that exchange balances have dropped to approximately 1.8 million BTC, the lowest level since 2017, indicating persistent accumulation and thinning supply. Price is stabilizing above the True Market Mean, though a break above $96K is pending. Ethereum is outperforming BTC, driven by renewed accumulation from large 'shark' wallets and significant organic network expansion following the Fusaka upgrade. In ETF activity, spot Bitcoin ETFs saw a small net outflow, but spot Ether ETFs attracted substantial capital with $140 million in net inflows. Market liquidations have eased significantly following earlier volatility. Furthermore, the macro backdrop is incrementally supportive, with the U.S. Treasury executing a record debt buyback and expectations high for Federal Reserve rate cuts, shifting policy from a headwind to a mild tailwind favoring digital assets.
(Source：The Block)