Since November 2024, both the overall amount of Bitcoin (BTC) transmitted to exchanges and the amount of Bitcoin Outflows Drop sent to exchanges by miners have declined dramatically, indicating that there is less selling pressure on the market.
Data from CryptoQuant shows that after around two months of increased activity, Bitcoin exchange inflows peaked on November 25th, 2024, at 98,748 BTC.
Bitcoin Outflow Drops in Dec 2024
Even while the amount of Bitcoin transmitted to exchanges fell in December 2024, it was still considerable, ranging from 11,000 to 79,000 coins daily. The decline in exchange inflow was mirrored by a decline in miner outflow. This suggests that Bitcoin miners, who typically sell their BTC holdings to cover operating costs, are not as motivated to sell.
Miner Outflow Slows Post Bitcoin Surge
Since November, when miners made a fortune during Bitcoin’s unprecedented price rally—following Trump’s election—the outflow of miners has been declining.
According to data compiled by CryptoQuant, the largest outflow occurred on November 11th, when the price of Bitcoin reached around $88,000 and miners sent 25,367 BTC to exchanges. In the first three days of 2025, miners sent 5,489 BTC to exchanges, 5,748 BTC on January 2nd, and 2,133 BTC on January 3rd.
Bitcoin to Hit $95K-$110K in Jan
Analysts from Bitfinex, who recently spoke with Cointelegraph, predict that Bitcoin will trade between $95,000 and $110,000 in January. Nevertheless, market analyst Axel Adler states that Bitcoin requires a rise in daily trading volume to break through barriers and witness a substantial upward movement. In a post from January 4th, the analyst stated:
There are no obvious indications of an overheated market; thus, Bitcoin Outflows Drop the structural outlook is bright. Unfortunately, there isn’t enough trade volume for a powerful impetus. That is why we must wait for the market to return to normal after the holidays.
After a few days of big outflows, inflows into Bitcoin exchange-traded funds have shown signs of recovery, with $900 million flowing in on January 3, 2025. This change in ETF flows indicates that institutional investors and traditional financial institutions are again interested in Bitcoin.
Bitcoin’s Market Shows Signs of Stability
Recent drops in Bitcoin withdrawals from exchanges and miners indicate less selling pressure, which is a reflection of market confidence. Expectations of prices between $95,000 and $110,000 in January indicate optimism, despite decreased trade volumes. The fact that ETF inflows have just seen a significant upturn indicates that institutional investors are once again showing interest in Bitcoin, which bodes well for its future structural performance.
FAQs
How much Bitcoin was sent to exchanges at the peak in November 2024?
On November 25th, 2024, Bitcoin exchange inflows peaked at 98,748 BTC after two months of heightened activity.
What caused miner outflows to slow after November?
Following Bitcoin's price surge—reaching $88,000 in November—miners reduced their sales, contributing to lower outflows.
What is the price forecast for Bitcoin in January 2025?
Analysts predict Bitcoin will trade between $95,000 and $110,000 in January 2025.
What factors could drive Bitcoin’s price higher?
Analysts suggest that increased daily trading volume is necessary for Bitcoin to break through price barriers and experience significant upward movement.
