$1 Billion Bitcoin Leaves Coinbase in One Day as Whales Accumulate Bitcoin Hard

Bitcoin prices remained relatively stable this week, although there was some slight downward pressure as investors continued to worry about the ongoing global economic uncertainty. The top cryptocurrency has remained relatively stable over the past month, fluctuating between $18,400 and $20,390. This decreased volatility is likely due to investors’ increased confidence in the asset. At the time of writing, Bitcoin was trading at $19,120, down 0.19% over the past 24 hours after falling to $18,492 on Wednesday.

Despite the current market conditions, Bitcoin has shown itself to be a resilient investment. Its recent movements suggest that it is still a viable option for those looking to invest in the digital currency market. It seems that the fundamentals of the economy are improving, after a period of five months of lacklustre activity.

Outflows from Coinbase have surged in recent months.

On Wednesday, Ki Young Ju, CEO of South Korean on-chain analysis firm CryptoQuant, shared a metric indicating that nearly $1 billion worth of bitcoin had been withdrawn from Coinbase, one of America’s largest cryptocurrency exchanges.

JUST-IN: 48k $BTC flowed out from Coinbase today. Looked at the transactions, and it seems they broke the old piggy bank to deliver Bitcoin to institutional clients.
Tweeted by Ki Young ju

The firm noted that the transaction pattern implies the creation of a new custodial wallet for institutional clients, suggesting that institutions are not concerned by the prolonged price decline that has deterred leveraged retail traders.

There has been a significant increase in demand for institutional investors.

After John D’Agosktino, a senior advisor at Coinbase, said in an interview with Anthony Scaramucci that institutional adoption of cryptocurrency is happening quickly, Young made his own revelation. According to the pundit, the lack of a clear regulatory regime has slowed adoption, but things are starting to improve as lawmakers move to pass legislation that gives institutional investors some assurance.

It seems that institutions, who largely fall in the whale category, are attracted to BTC’s discounted prices. This is likely because the current BTC price is close to the estimated entry price of institutional investors who have been using Coinbase services like prime brokerage and custody. If you still believe that institutions are driving the market, this bull market could work for you,” Young recently tweeted. Since Bitcoin’s price hit $20,000, whales have been aggressively accumulating the asset on Binance and Coinbase.

In the past year, crypto firms and exchanges have launched products designed to appeal to institutional investors, in response to the soaring demand for crypto assets.

In August, Coinbase partnered with BlackRock to offer bitcoin trading and custody services to institutional investors. Brian Armstrong, the CEO of the exchange, recently stated that some sovereign wealth funds have already allocated a portion of their portfolio to digital assets.

The exchange has also announced plans to expand its operations into Australia, with a focus on serving institutional investors. Gemini recently partnered with Betterment, a leading financial institution, to expand its reach in the cryptocurrency market.

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