Bitcoin Is Moving From Global Platforms To US-Based Ones

In a new post on X, CryptoQuant founder and CEO Ki Young Ju has discussed a trend that has been emerging in a Bitcoin indicator recently.

Bitcoin (BTC) has observed a rising trend in its US exchange dominance over the past few months, and now some data shows what happened the last two times a similar pattern appeared.

Bitcoin Is Shifting From Global Platforms To US-Based Ones

According to a new post on X, CryptoQuant founder and CEO Ki Young Ju has highlighted a emerging pattern in a Bitcoin indicator. The metric being discussed is the ratio between the BTC reserve of US-related platforms and off-shore ones.

When discussing “platforms” in this context, the definition not only includes cryptocurrency exchanges, but also the spot exchange-traded funds (ETFs), which were only approved to begin operating in the United States in January of this year.

As the value of this ratio increases, it suggests that US-based platforms are seeing their BTC reserve go up relative to the off-shore ones. Such a trend could be implying that interest is shifting away from the latter platforms and towards the former ones.

On the other hand, the metric registering a decline may be implying that the cryptocurrency is going through a transfer from US exchanges and spot ETFs to foreign platforms.

Related Reading: Bitcoin Fear And Greed Index Tips To Extreme Greed As BTC Price Rally Continues

Here is a chart that shows the trend in this Bitcoin indicator over the past decade:

The chart above shows that this ratio had plunged to relatively low values during both the 2022 bear market and the 2023 recovery, but this year, the indicator’s value has observed a sharp increase.

This would imply that off-shore platforms have seen a notable reduction in their dominance. A major driver for this trend is likely to be the popularity the US spot ETFs have found since their launch.

From the chart, it’s also visible that a similar pattern was observed in the leadup to the 2021 bull run. Global exchanges dominated during the bear market and the recovery phase that followed, but then a shift towards American platforms occurred, which paved the way for the price rally.

The dominance of US-based exchanges had also shot up in the buildup of the 2017 bull run, so it would appear that BTC goes through bullish periods when interest in American platforms is more than for those in the rest of the world.

As the ratio has once again been forming this pattern recently, it’s possible that the cryptocurrency could be heading towards another major bull run. It now remains to be seen whether the trend will repeat or not.

BTC Deriatives Long Liquidations Hit $148 Million As Bitcoin Price Drops To $66,600

In some other news, a large number of long investors have met liquidation in the derivatives sector during the last 24 hours, as Bitcoin and other coins have gone through drawdowns.

As is visible above, around $173 million in cryptocurrency-related contracts have been liquidated in this window, of which over $148 million were long positions.

BTC Price

Bitcoin had briefly slipped under the $66,000 level during its latest plunge, but the asset has since seen some minor recovery to $66,600.

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