Exchange BTC, ETH balances no longer just a bullish signal

Declining Bitcoin and Ethereum balances on exchanges can no longer be viewed solely as a bullish signal, CoinDesk reported. Exchange balances for BTC and ETH are at their lowest levels since 2017 and 2015, respectively. While a drop in exchange supply has traditionally been seen as a bullish indicator of reduced selling pressure, the metric's reliability has diminished. This shift is attributed to the growth of institutional custody services and the movement of funds into spot ETFs, staking, and DeFi. GoMining CEO Mark Zalan commented that while bull markets have historically followed sustained decreases in exchange supply, it is impossible to predict the exact timing of a trend reversal based on this data alone.