India Preparing for a CBDC-Driven Economy: Central Bank Governor’s Vision
Outgoing Reserve Bank of India Governor Shaktikanta Das believes that the digital rupee has the potential to transform India's economy.
CryptoQuant CEO Ki Young Ju sees a bullish rally on the cards as a result of the recent Bitcoin outflows from Coinbase.
The cryptocurrency data analyst firm points to more than 15,000 Bitcoin (which is worth approximately $515 million) were taken out from Coinbase. Based on several factors, Ki Young Ju believes this is likely as part of over-the-counter (OTC) transactions from institutional investors.
Massive Coinbase outflows. 15k $BTC at 32.4k
Looking at the TX, it went to custody wallets that only have in-going transactions. It’s likely to be OTC deals from institutional investors.
I believe this is the strongest bullish signal.
Chart 👉 https://t.co/20Dz85Y5mG pic.twitter.com/W2G7M9lpm1
— Ki Young Ju 주기영 (@ki_young_ju) February 1, 2021
Splitting bigger wallets (such as those containing more than 15,000 Bitcoin) into smaller wallets (such as those containing between 1,000 and 5,000 Bitcoin tokens) increases security, but also raises security costs involved.
Why outflows could be bullish for Bitcoin
Ki Young Ju sees the Coinbase outflows as a bullish sign for the cryptocurrency market because it represents that investors are moving their tokens to storage. If investors are moving significant amounts of Bitcoin to storage, such as cold wallets, it means the investors sees the cryptocurrency as worthwhile holding on to rather than selling. With Bitcoin in cold wallets, the token won’t be traded or exchanged.
1/ Coinbase BTC outflows
It seems massive Coinbase BTC outflow usually goes to their new cold wallet for custody that held 6000-8000 BTC. If Coinbase moves a significant amount of Bitcoins to other cold wallets, it would indicate OTC deals.Chart: https://t.co/zSIJ9E5sLv pic.twitter.com/jxUpbUn9JP
— Ki Young Ju 주기영 (@ki_young_ju) December 18, 2020
He continued:
“Tokens Transferred is the number of Bitcoins transferred on the network. If this value goes up and the fund flow ratio for all exchanges goes down, it implies that huge OTC deals are on-going… This $BTC bull-run never stops as long as these OTC indicators keep saying institutional-buying.