Bitcoin’s Market Activity Shifts Amid Liquidity Concerns
- On November 24, Bitcoin traded around $88,438 with Coinbase recording seven-day cumulative inflows of approximately $21.0 billion.
- Binance saw inflows near $15.3 billion during the same period, indicating significant exchange activity despite lower prices.
- By December 21, Bitcoin’s price was near $88,635 as liquidity entering major exchanges declined sharply.
- Coinbase’s seven-day cumulative inflows fell over 60% to roughly $7.8 billion compared to late November.
- Binance surpassed Coinbase in net inflows during December with about $10.3 billion, reversing prior trends.
The data highlights a shift in market conditions with reduced turnover and lower urgency on both the buy and sell sides for Bitcoin and Ethereum. This reflects a quieter liquidity environment as trading activity becomes more concentrated on certain exchanges associated with short-term positioning.
Overall, Bitcoin remains range-bound amid shrinking inflows, suggesting temporary stabilization rather than a confirmed reversal in trend dynamics as it trades below key moving averages like the $87,900 level on the daily chart.
