Bitcoin Challenges Bears: Price Near 108K USD Despite 250 Million USD Flowing into the Exchange

On-chain data shows that exchanges have recently received a large influx of Bitcoin, but so far, the price of this asset has only risen. Bitcoin has witnessed a surge in capital inflow into the exchange recently. In a recent post on X, the DeFi solution provider Sentora (, formerly known as IntoTheBlock), spoke about the latest trends in Exchange Netflow for Bitcoin. Exchange Netflow is an on-chain indicator that tracks the net amount of assets moving in or out of wallets associated with all centralized exchanges. When the value of this metric is positive, it means that the inflow of funds to the exchange is greater than the outflow of funds from the exchange. Since one of the main reasons investors deposit their funds into these platforms is for selling-related purposes, this trend can have a negative impact on asset prices. On the other hand, the indicator below the neutral level shows that holders are withdrawing a net amount of tokens from exchanges. Such a trend could be a sign that investors are accumulating, which could naturally prove beneficial for cryptocurrencies. Here is the chart showing the trend of Bitcoin Exchange Netflow since the beginning of the month:

As shown in the chart above, Bitcoin Exchange Netflow has recently mainly been in the negative zone, but the latest value ( from yesterday ) is positive. In total, investors have deposited $262.75 million in net assets into wallets connected to the exchange with this surge. According to the analytics company, this is the first day with significant deposit volume since May 27. As mentioned earlier, the influx of money into the exchange can be a factor that could cause the value of this coin to decrease. However, so far, the opposite has happened with Bitcoin, as its price has risen sharply. This may indicate that even if some large holders want to sell with this amount of deposits, there is enough demand appearing at the same time for BTC not only to overcome this potential selling pressure but also to actually contribute to the recovery process of the price. According to the analysis company Glassnode, the activity of short selling liquidations has recorded a significant rise along with the increase of cryptocurrency.

"In just 4 hours, the total number of short sell orders surged from $105,000 to $359,000 (24H SMA)," Glassnode noted. Overall, large short sell orders ultimately provide fuel for the price movements that cause them, so in this case, the short selling may have supported the price rise of Bitcoin.