• On-chain data shows Bitcoin exchanges have registered the most significant outflows since the collapse of the crypto exchange FTX back in November.
• The relevant indicator to measure the net amount of Bitcoin exiting or entering into the wallets of all centralized exchanges is the „all exchanges netflow“.
• When the indicator has a negative value, holders withdraw their coins from exchanges to hold onto them for extended periods in personal wallets, which may have a bullish impact on the price.

The recent activity on-chain data has shown that Bitcoin exchanges have registered the most significant outflows since the collapse of the crypto exchange FTX back in November. Analysts in a CryptoQuant post pointed out that around 7,000 coins have left the exchange in this latest spike, which is a significant number. This has caused the “all exchanges netflow” metric, which measures the combined net amount of Bitcoin exiting or entering into the wallets of all centralized exchanges, to have deep negative values.

The all exchanges netflow metric is calculated by taking the difference between the inflows (the coins going in) and the outflows (the coins moving out). When the indicator has a positive value, it means that the inflows overwhelm the outflows and a net number of coins are being deposited to exchanges. This could be a signal of investors selling their coins, which could have a bearish impact on the price of the crypto. On the other hand, when the indicator has a negative value, it means that holders are withdrawing their coins from exchanges to hold onto them for extended periods in personal wallets. This could be a sign of investors accumulating their coins, which could be seen as a bullish indicator.

A chart showing the trend of the Bitcoin all exchange’s netflow over the last few months shows that the value of the metric has been quite negative recently. This could mean that investors are out of the market and are holding their coins off exchanges, which could be a sign that they are expecting the price of Bitcoin to increase in the near future. While it is too early to make any predictions, this development should be monitored closely in the coming days.