On-chain data shows Bitcoin whales are dumping as they make up almost 90% of the transactions to exchanges, but BTC holds support above $60k.

As pointed out by a CryptoQuant post, BTC has continued to hold support above $60k despite on-chain data showing whales are dumping their coins.

The indicator of relevance here is the “exchange whale ratio.” This metric measures the ratio between the top ten inflow transactions to exchanges and the total volume of Bitcoin moving to exchanges.

With this ratio, the relative size between whale transactions and the total exchange transactions becomes apparent. If the value of the indicator is higher than 85%, it may suggest that whales have started to dump their coins.

Now, here is a chart that shows the trend in the value of the Bitcoin metric over the last couple of months:

As the above graph shows, the indicator has shown an uptrend recently, and now whale transactions make up for nearly 90% of the inflow volume to exchanges.

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Such high values suggest there is whale dumping going on in the market. However, despite this trend, BTC has still maintained support above $60k.

There is also another indicator’s curve in the above chart. It’s the “exchange reserve” metric that shows the total amount of BTC currently present in wallets of all exchanges.

Looks like the trend with this indicator during this period has been that it’s going down. This means investors have been pulling their coins off exchanges, and so the supply for selling is being reduced.

Related Reading | Bitcoin Trades Sideways, Technicals Point Chances of Fresh Rally

This has been creating a supply shock in the Bitcoin market, and it may be this trend that’s making up for whale dumping and helping the coin keep above $60k.

At the time of writing, Bitcoin’s price floats around $61.5k, up 1% in the last seven days. Over the past month, the crypto has gained 16% in value.

The below chart shows the trend in the price of the coin over the last five days.

Bitcoin has slowed down some in the last couple of weeks as the price of the crypto has been mostly consolidating between the $64k and $60k range. It’s unclear when the trend might break or which direction the crypto might move in once it does, but for now the market has held up support despite the dumping from whales.

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