Bitcoin Exodus from Binance Signals Contrasting Investor Behavior
Over the past 15 days, more than 40,000 Bitcoin (BTC) worth approximately $3.3 billion have been withdrawn from Binance, marking the strongest exit pace since June 2023. According to CryptoQuant analyst Darkfost, Binance's reserves dropped from 704,800 BTC to 663,100 BTC, with the largest weekly outflows occurring last week. Analysts interpret these withdrawals as a potential accumulation signal, suggesting investors may be moving their holdings into private custody rather than trading them.
Despite the significant exchange outflows, U.S. spot Bitcoin ETFs experienced their first daily outflow in October, totaling roughly $90 million. Among the twelve funds, only BlackRock's IBIT saw inflows. Glassnode noted that weekly net inflows had already plummeted 87.7% to $208.1 million, attributing this to elevated unrealized gains among ETF holders, which may be prompting profit-taking.
Futures markets showed mixed signals. Futures open interest fell 3.8% to $36.6 billion, but daily funding payments on long bets surged 57.3% to $1.5 million, indicating increased costs for bullish traders. Glassnode highlighted that open interest remained near its high band, suggesting persistent leverage in the system. Meanwhile, aggressive selling pressure has subsided, with the perpetual cumulative volume delta recovering significantly.
On-chain activity provided a contrasting picture. Active addresses rose 6.1% to 675,800, while the hot capital share climbed to 19.5%, indicating new buyers entering the market. Bitcoin's price hovered around $86,000, down slightly over 24 hours, as the asset continued to consolidate within a narrow range near $85,000.