Bitcoin Outflow Reaches 38 Billion Setting a New Record What Does This Mean for Prices

Coin World News report:
In the past few days, more BTC has left the exchanges. The trading price of BTC is still below the $60,000 range.
Bitcoin (BTC) has experienced a significant decline since the beginning of this month. Interestingly, despite this downturn, there has been a noticeable exodus from exchanges. This is surprising as there have been reports of a recent sell-off of Bitcoin.
Bitcoin network traffic shows significant withdrawals
Recently, Bitcoin has exhibited an interesting pattern of flow on exchanges.
Analysis of CryptoQuant flow data shows that the outflow has been greater than the inflow in the past few days. The data highlights that July 5th was an important day with a net outflow of over 68,500 BTC.
Furthermore, this is the highest this year, valued at approximately $3.8 billion based on the exchange rate of that day. The following day also saw a significant outflow, with over 12,550 BTC leaving the exchanges, valued at approximately $730.9 million.
The trend of Bitcoin being withdrawn from exchanges is noteworthy, especially in the case of a price decline.
Typically, such fluctuations can be interpreted as a bullish signal, indicating that holders choose to retain their assets rather than sell, even if Bitcoin breaks support levels.
This behavior often reflects the collective expectation of investors that prices may rebound, prompting them to withdraw their holdings from wallets.
Bitcoin shows slight improvement
AMBCrypto’s analysis of Bitcoin on a daily timeframe emphasizes that the long-term moving average line shown by the blue line is currently an immediate resistance level. This resistance level is between $58,900 and $59,000.
At the time of writing this article, the trading price of BTC is around $57,200, with an increase of over 2%. This increase occurred after a significant 4.10% drop in the previous trading day, which brought its price to around $55,850.
In addition, the relative strength index (RSI) is below 37, indicating that the asset is still in a strong bearish trend. RSI below this level usually means that the asset is oversold, indicating that selling pressure has been dominant.
More holders remain uncertain
Analysis by IntoTheBlock focusing on the profitability of Bitcoin holders indicates that many are currently experiencing losses.
Read Bitcoin (BTC) Price Forecast 2024-25
The global fund flow in/out index shows that approximately 5.43 million addresses, accounting for nearly 64% of all holders, are holding Bitcoin at a loss.
In contrast, around 2.87 million addresses (accounting for almost 34% of holders) are profitable.