The Binance Bitcoin Reserve Reaches Lowest Levels Since January 2024 – Could a Bull Run Be on the Horizon?
The amount of Bitcoin [BTC] held in reserve on the Binance exchange has dwindled to its lowest point since January 2024, a trend that has been viewed positively by a CryptoQuant analyst in terms of the asset’s long-term outlook.
From August to the present, the reserve on Binance has decreased from 630K BTC to approximately 580K BTC.
These reduced levels were last observed in January, just before the introduction of US BTC ETFs, which led to a 90% surge, as noted by the pseudonymous analyst Dark Fost.
Bitcoin: Further Surge or Consolidation?
The decrease in the reserve suggests that more BTC has been withdrawn from Binance for self-custody, hinting at a potential price surge in the future.
Fost further emphasized that the outflows strengthened the positive long-term prospects for BTC.
Interestingly, the decline in BTC reserves on the Binance exchange from August to December coincided with the cryptocurrency reaching a peak of $108K.
Now that Christmas is over and attention is turning towards the upcoming Trump inauguration, what lies ahead for BTC?
The chief analyst at Bitget Research, Ryan Lee, anticipated that BTC would trade within a range of $94K-$105K, with a potential breakout post the holiday period. He stated,
“This week, BTC is expected to trade within the range of $94,000 to $105,000. The price is forecasted to surpass $105,000 post-Christmas.”
Since Christmas Eve, the value of BTC has flirted with the $100K mark, prompting more bullish forecasts for $110K in the recent hours.
However, Santiment warned that a move towards $110K might occur when it is least expected. The analytics company mentioned,
“Once again, traders are starting to turn bullish, speculating about the potential of $110K. Historically, Bitcoin reaches $110K only after it catches everyone by surprise, as indicated by this data.”
At the time of writing, BTC was priced at $97.8K, approximately 10% below its all-time high of $108.3K.