Bitcoin’s sideways movement is another indication that it is undergoing an accumulation phase.
Over the past week, nearly $540 million worth of Bitcoin has been withdrawn from centralized exchanges. According to on-chain analysis firm IntoTheBlock, this is the largest weekly net outflow since June 2023.
Typically, a surge in outflows from exchanges signifies a short-term accumulation trend.
This trend also demonstrates the preference of investors to hold Bitcoin (HODL) rather than selling for profit. This is particularly interesting as over 94% of all current Bitcoin entities are in a profitable position, according to data analysis from Glassnode.
The number of individuals or organizations holding at least 1 thousand BTC currently stands at 1,670, a 12% increase from the previous month. This figure also takes us back to the early 2021 uptrend phase of the market.
As users focus on accumulating, network transaction activity has decreased. Bitcoin miners earned over $11 million in network fees last week, a 32% decline from the previous week.
In fact, upon closer inspection, the revenue share from miners’ fees has significantly decreased, from 26% at the beginning of the year to 3.23% currently.
The market is “extremely bullish” at the time of writing, indicating that many investors are sure to participate in the market, ultimately leading to a breakout to the upside.
