Bitcoin Short-Term Holder Activity Above 0.4 Binance Inflow Ratio May Suggest Potential Local Bottom

Key Points

1. Bitcoin short-term holders (STHs) moving coins to exchanges like Binance at a ratio above 0.4 indicates absorbed selling pressure and a potential local bottom.

2. Historical data shows similar STH activity has preceded market bottoms in past cycles, such as early 2023 and mid-cycle corrections.

3. Investors can use this signal to inform strategies like dollar-cost averaging (DCA) and combine it with other technical indicators (e.g., RSI, MACD) for better decision-making.

4. The Binance inflow ratio is not infallible; market complexity requires a multifaceted analytical approach to confirm signals.

5. Other notable market updates include Ethereum validator exit queues, corporate investments in crypto, and regulatory developments like CoinShares securing a MiCA license.