On-chain data reveals a significant trend of inflows of Bitcoin into Binance over the past ten days, raising concerns among investors about potential selling pressures in the market. According to analytics shared by CryptoQuant contributor Darkfrost, the Exchange Netflow metric, which measures the volume of Bitcoin moving into and out of wallets linked to centralized exchanges, has remained consistently positive for Binance during this period.
A positive reading on this metric indicates that more Bitcoin is being deposited to the exchange than withdrawn, which is often associated with selling activities. Conversely, when the metric falls below zero, it suggests that withdrawals surpass deposits, signaling a possible accumulation phase that could be bullish for Bitcoin’s price.
The recent data shows that while the inflows have varied daily, the overall trend has seen a marked increase in deposits. For instance, on May 16, a net total of 378 BTC was added to Binance wallets, with that figure climbing to 1,190 BTC by the current date. Notably, May 18 recorded the highest single-day inflow, with over 3,600 BTC entering the exchange, underscoring the pronounced activity.
As a consequence of these sustained deposits, the Bitcoin Exchange Reserve—a measure of the total Bitcoin held on Binance—has also risen. The reserve was reported at a low of 616,000 BTC on April 24 but has increased to 632,000 BTC, indicating a net inflow of approximately 16,000 BTC into the platform.
Darkfrost emphasized that an enduring trend of dominant inflows on a major exchange like Binance can typically be interpreted as a potential signal for selling pressure in the market. At present, Bitcoin’s trading price hovers around $77,400, showing little change from the previous week as market participants closely monitor trading activities and the implications of the ongoing inflow trends.
