Bitcoin (BTC) exchanges have seen huge volumes this month as price declines lead to renewed interest in trading.
Data from sources including on-chain analytics firm Glassnode show that exchange flows are hitting their highest since March 2020.
“The smell of volatility is in the air”
On September 14th, over 236,000 BTC made its way to the top 1 exchanges tracked by Glassnode.
This was the biggest one-day spike since the chaos that surrounded Bitcoin’s plunge to just $3,600 in March 2020.
The sales in May 2021 and May and June this year did not match the calculation, suggesting that more of the Bitcoin investor base is currently looking to reduce exposure.
Separate data from analytics firm Santiment covering both centralized and decentralized exchanges put the total inflow figure for the week to September 13 at 1.69 million BTC.
“This was the highest amount of $BTC moved since October 2021,” it added in Twitter comments.
As BTC/USD fell to near $19,600 this week, meanwhile, some “unusual” signals came from interactions with exchanges by both larger and smaller hodlers, according to commentator David P. Ellis.
Orcas vomited 11.8K coins but Minnows came back in the tens of thousands, presumably because alts are starting to crumble. Exchange flows were tame today for the first day in three, but volume was still well above average. The smell of volatility is in the air.
– David P. Ellis (@DavidPBitcoin) September 16, 2022
The action follows the curious movement of long-dormant coins in early September, an event initially attributed to the now-defunct exchange Mt. Gox.
Miners slow down BTC sales
Returning to trading platforms themselves, Glassnode indicates that exchange balances have increased by approximately 80,000 BTC since the end of August.
Related: Bitcoin price threatens $19.6K as Ray Dalio predicts 30% stock crash
The trend, however, is towards miners returning to net holding BTC they earn.
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