CryptoQuant is an analytics service that has recently pointed out an important development in the crypto market. The on-chain analysis reveals that within 24 hours, $131 billion worth of Bitcoin were picked up from the market. It is worth noting that only 1% of this amount made it back into the exchange platforms and back into public circulation pools.
CryptoQuant also noted the sharp decline in fund flow ratio for the flagship cryptocurrency. The fund flow rate indicates the measure of total BTC transactions on all the exchange platforms and across the global network. According to the aggregator, this ratio has reached a low level tracing back to two years old position. The firm also postulated that the change in this metric is a sign of OTC transactions.
Ki-Young Ju, CEO of CryptoQuant, took to social media to point out several similarities between the current market state of Bitcoin and the September 2020 market. He claimed in a new tweet that big players are showing interest and going on a beacon coin shopping spree. He further explained that bears are planning to lose control of the market if the current trend persists for the long term.
He shared some charts from last year to pinpoint the similarities of trends. According to his remarks at present, the BTC market was in the same state last year, just before the massive bull run that saw Bitcoin reach a record ATH of $64,800 in April. He also shared many charts that prove the plunging fund flow ratio decline and a huge amount of on-chain deposits for BTC.
Earlier this year, Ki-Young Ju correctly predicted that Bitcoin would soar above $50,000. He also explained that an influx of stablecoins in the market would increase from whales that will generate the bullish signal. He had also predicted in advance that bears would be able to take over the market for a short term. The most important prediction by him is that Bitcoin will be valued at $100,000 before the year-end.
He revealed that the data for his analysis is tracked from Coinbase. This data accounts for the total and majority of the institutional interest in the Bitcoin network the whole year. Recent outflow readings indicate that BTC is once again a sizzling trade commodity in the market. $1.7 billion withdrawals from the exchange within the month show that institutions were purchasing Bitcoin above $30K.