Happycoin.club - Since May 1, Bitcoin has risen in price by 27% amid an unprecedented depletion of coin reserves on cryptocurrency exchanges.
The number of bitcoins on the balance sheet of exchanges has dropped to a historical low. Just in time for a second wave of capital inflows into ETFs. Supply shock + inelastic supply = flight to the moon, wrote Thomas Farer, co-founder of financial services company Apollo.
Changes in the Bitcoin rate (black line) and the number of coins on the balance sheet of exchanges (blue)
From Monday to Tuesday, traders bought much fewer coins than, for example, on May 15, when the cost of BTC increased by 8%. Obviously, an increase in the coin rate by the same percentage, despite a decrease in trading volume, indicates a small number of coins offered for sale due to depletion of reserves.
Bitcoin trading volume on May 15 and from May 20 to May 21 on the Bitstamp exchange
If the crypto storages of the exchanges are not replenished with bitcoins, then it will be easier for the bulls to push the cryptocurrency rate up. In this case, the upward trend in the BTC market may accelerate, as a result, the price of coins will exceed the all-time high reached at $73,794 in March.
