BTC Selling Pressure Fades as Binance Inflows Fall Below 2020 Levels

Binance Bitcoin inflows fell to about 5,700 BTC per month, below 2020 levels, signaling reduced exchange transfers after a 30% price drawdown.

Bitcoin exchange flow data shows a sustained slowdown in coins moving to Binance over recent months. This trend has emerged after a sharp Bitcoin price drawdown and during ongoing market uncertainty. 

Data suggests that investors are moving fewer coins to exchanges, which often signals reduced near-term selling activity.

Binance Inflows Fall to Levels Last Seen in 2020

Monthly Bitcoin inflows to Binance have declined to around 5,700 BTC. This figure is far below the historical monthly average of roughly 12,000 BTC observed since 2020.

The current level represents one of the lowest sustained inflow periods in several years.

This reduction did not occur during a single month or due to one large transaction. Instead, inflows have remained consistently below the long-term average for several consecutive months. Such consistency points to a shift in behavior rather than short-term volatility.

Binance remains the largest centralized exchange by trading volume. It also captures a dominant share of global Bitcoin exchange flows. Because of this position, Binance inflow data is often used to assess broader market supply movements.

Lower Exchange Transfers Reduce Selling Activity

Bitcoin inflows to exchanges are commonly associated with selling preparation.

When holders move coins from wallets to exchanges, the intention is often to trade or liquidate. A decline in inflows usually reflects lower immediate sell-side activity.

On-chain data shows that fewer coins are leaving long-term storage wallets.

Many holders are keeping assets in cold storage or on-chain addresses. This behavior limits the amount of Bitcoin available for exchange-based selling.

Using monthly averages helps remove noise from short-term data. Large single transfers can distort daily inflow figures. A longer time frame offers a clearer view of underlying market behavior.

Related Reading: Why Bitcoin Ranging Longer May Increase Odds Of An Upside Breakout

Sustained Trend Suggests Structural Change

The decline in inflows comes after Bitcoin fell more than 30 percent from its recent all-time high.

In past cycles, similar drawdowns often led to increased exchange deposits. This time, the data shows the opposite pattern.

Several months of subdued inflows suggest a developing structural trend.

Investors appear less inclined to move Bitcoin onto exchanges despite price weakness. This supports the view that holding behavior remains dominant.

BTC selling pressure fades as Binance inflows fall below 2020 levels. Exchange flow data indicates reduced distribution activity across the market. Current conditions show Bitcoin supply remains largely off exchanges.

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