Exchanges witness exceptional Bitcoin outflows as $2B in daily withdrawals push boundaries

Bitcoin (BTC) is experiencing a significant outflow from exchanges as its price reaches new highs. James Van Straten, a research and data analyst at CryptoSlate, highlighted the withdrawal of billions of dollars worth of BTC in a recent post. Using data from Glassnode, Van Straten revealed that on March 1 alone, withdrawals amounted to approximately $2 billion, a trend that has not been seen before. The outflows are reminiscent of the record withdrawals observed in June 2021. Van Straten attributed the outflows to the popularity of the United States spot Bitcoin exchange-traded funds (ETFs), with Binance experiencing large outflows in recent days. Glassnode data shows that the total BTC assets available on major trading platforms have decreased to the lowest level since March 2018. However, there is also evidence of new investors entering the market, as younger coins are becoming active and dormant coins are being revived. It is important to note that this article does not provide investment advice and readers should conduct their own research before making any decisions.