The number of Bitcoin held on exchanges has fallen to a six-month low as the bear market continues to drag on.
According to data shared by on-chain analysis company Santiment, Bitcoin’s supply on exchanges has witnessed a continuous drop over the past couple of weeks, particularly since mid-May. The firm noted in a tweet that:
The ratio of Bitcoin’s supply on exchanges has encouragingly slid down to its lowest since early January. The 6-month low is a promising sign, as it generally will indicate that there is a decreased risk of more major BTC selloffs.
Santiment asserts that Bitcoin’s decline on exchanges is a positive thing since the unavailability of the asset on exchanges could prevent any major sell-offs.
The number of Bitcoin on exchanges is not the only thing that has taken a hit. Bitcoin’s price is also struggling to stay above $35,000. As of press time, the flagship currency was trading at $34,700. However, it appears there is a lot of accumulation going on at this time.
Similarly, Bitcoin’s mining difficulty also saw a 28% drop following China’s extended ban on crypto mining. Several miners have been forced to seek refuge in more crypto-friendly regions.