CryptoQuant contributor IT Tech has highlighted a rise in Bitcoin reserves on centralized exchanges—approximately 20,000 BTC over the past few days.
According to him, the potential shift in trends indicates a change in sentiment and suggests that market participants are gearing up for more active trading.
“If reserves and net inflows continue to grow, we could face heightened volatility and potential selling pressure on Bitcoin’s price in the near future,” the analyst noted.
He advised investors to monitor exchange activity closely and prepare for intensified price fluctuations.
At the time of writing, Bitcoin is trading around $94,460. The asset has declined by 2.1% over the past 24 hours, according to CoinGecko.
Previously, on-chain analyst Yonsei_dent explained who actively sold Bitcoin during November and December.
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