The recent drop in Bitcoin (BTC) prices has been accompanied by a massive increase in on-chain activity in the volume of exchange transactions, according to Glassnode
- For some reason, the laundry trade also takes place on decentralized exchanges.
On-chain activity of exchanges. Source: Glassnode
In contrast to the regular trading volume, which is often artificially inflated by exchanges, The activity in the chain can rather indicate real patterns. Interestingly, the only measure that has been trending down is the number of deposits on exchanges. This can be a standalone bullish sign.
- Bloomberg: Key Metric proposes Bitcoin price above $ 12,000
Weekly percentage change in volume. Source: Kaiko
700% growth in DAI / USDT
Data from the previous week also indicate a significant increase in the off-chain volume. For example, the BTC / USD pair saw its largest recovery since April increase 70%. DAI / USDT rose over 700% over the same period.
- Bitcoin’s price eventually escaped the multi-year downtrend, but is it now possible to hit $ 20,000?
Bloomberg believes fundamentals suggest Bitcoin will exceed USD 12,000, if not more, this year. With the massive momentum in the past 24 hours, some have started speculating whether Bitcoin can break its record high of $ 20,000.