In line with the latest market statistics, Bitcoin is witnessing significant increase in demand. As per CryptoQuant, Bitcoin’s demand surge takes place at a time when the Over-the-Counter desk inventories are seeing the biggest monthly plunge of 2024. The on-chain analytics provider discussed the rising potential of Bitcoin on its official social media account.
Bitcoin Demand Surges as It Witnesses the Biggest Monthly Drop on OTC Desk Inventories
CryptoQuant mentioned that the market data signifies a demand surge for Bitcoin. In this respect, a dip of up to 26,000 $BTC has taken place in the monthly inventory of the OTC desks. The respective decline has contributed to a wider trend of a balance drop. This has come after the recent price dip which brought Bitcoin from $107k to $95k. As a result of this, the chances for new price spikes have increased to a great extent.
Source: CryptoQuant
The total balance of the crypto assets existing in the addresses linked with the Over-the-Counter desks denotes the OTC desk balance. The respective metric reportedly encompasses the data from 3 particular OTC desks. In this way, it offers an overview of the wider OTC market activity although not covering all of it.
Total OTC Balance Records a Decline of 40k $BTC after November 20
The cumulative Bitcoin OTC balance has reportedly slumped by 40k $BTC tokens since the 20th of November. Hence, this sheer decline has potentially tightened the overall $BTC supply. In line with this development, Bitcoin is gradually moving toward the next price spikes.
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Simultaneous to discussing the current OTC Desk data, CryptoQuant also shared a chart presenting change in Bitcoin’s OTC balance and price. The chart pointed out that during the 1st quarter of 2024, Bitcoin experienced a remarkable jump from just $40,000 to $74,000. Parallel to this noteworthy increase, the demand growth led to a plunge in the inventories of the OTC desks.
The Overall Demand Upsurge Causes OTC Desk Inventory Slump
Following that, over the recent 30 days, the inventory levels of the OTC desks have again dripped to a substantial extent. In the meantime, a slump of 26,000 $BTC has paved the way for additional price growth. Keeping in view this building momentum for more demand and price increases, CryptoQuant anticipates Bitcoin’s potential to attract new investors.