BTC ETH Inflow Ratio Drops After ATH Spike

BTC and ETH inflow ratio falls to 2.7× after spiking to 4.0×, reflecting eased selling pressure and lower exchange activity.

  • BTC+ETH inflows surged after $124K ATH, outpacing stablecoins
  • Inflow ratio hit 4.0×, signaling excess supply and selling pressure
  • Ratio now at 2.7× with cooled daily inflows of $5B

After Bitcoin hit its $124,000 all-time high, crypto markets saw a sharp increase in BTC and ETH transfers to centralized exchanges. This move typically signals rising intentions to sell. However, stablecoin inflows — often used to buy crypto — did not follow suit, indicating a supply-heavy environment without fresh demand.

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This imbalance was captured by the BTC ETH inflow ratio, calculated as the combined BTC and ETH inflows divided by stablecoin inflows. The ratio surged to a peak of 4.0×, a level that historically points to excess crypto being moved for selling against a limited pool of buying power.

Excess Supply Triggered a Pullback

The sharp increase in the inflow ratio aligned closely with a price correction in major cryptocurrencies. When the market is flooded with sellable assets without a matching inflow of stablecoins (fresh capital), prices tend to retrace — a classic case of excess supply over liquidity.

The price pullback was a direct result of this imbalance. Crypto holders were eager to take profits, but the buying pressure was not enough to sustain the highs.

Ratio Normalizes, Market Cools Down

Since the spike, the inflow ratio has gradually declined. Currently, the 7-day moving average sits around 2.7×, a sign that selling pressure is easing. At the same time, the daily inflow volumes for BTC and ETH have cooled to about $5 billion, suggesting that the intense post-ATH selling wave is losing steam.

While a ratio above 1.0 still leans toward selling pressure, the moderation from 4.0× to 2.7× indicates a more balanced environment, potentially paving the way for more stable price action or the groundwork for the next move — depending on whether demand can catch up.

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Disclaimer: The content on CoinoMedia is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency investments carry risks, and readers should conduct their own research before making any decisions. CoinoMedia is not responsible for any losses or actions taken based on the information provided.

Aurelien Sage

Aurelien Sage is a blockchain enthusiast and writer, crafting insightful articles on decentralized technologies, Web3, and the future of finance. His work simplifies complex concepts, empowering readers to navigate the evolving crypto landscape with confidence.

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