Thread by @Moon__Capital

1/ INSIDE THE EVENT HORIZON with @MimesisCapital

THREAD #6

mimesiscapital.medium.com/unprecedented-…

2/ Since March of 2020, the number of Bitcoins held on exchanges has decreased at an unprecedented pace.

3/ Directly before the 2017 bull run, we saw a much smaller, but similar phenomenon. In August of 2016, we witnessed total exchange balances peak at 1.06M BTC. At the beginning of 2017, 0.94M BTC remained on exchanges, meaning 120,000 BTC were removed (-11% decline).

4/ This bull run appears to be telling a more extreme story. In March of 2020, there were a total of 2.97M BTC held on exchanges. Today there are 2.33M BTC held on exchanges, meaning 640,000 BTC were removed (-22% decline).

5/ Looking at Net Transfer Volume from/to Exchanges, we can better visualize the amount of Bitcoins getting removed from exchanges in comparison to 2016/2017.

The speed at which Bitcoins are being removed is unprecedented. We are on the verge of Bitcoin's first mega bull run.

6/ We can specifically look at the Coinbase Bitcoin Balance. Since the beginning of December, a net 75,000 BTC have been withdrawn from Coinbase. This is Bitcoin leaving the world’s largest exchange (BTC Balance wise) at an incredibly fast rate.

7/ We are approaching a period in Bitcoin’s history where a large majority of big Bitcoin holders have very little incentive to trade their Bitcoin for dollars, ever.

Most Bitcoin are locked away in cold storage with almost no intention of being sold in any meaningful amount.

8/ The few Bitcoin still on exchanges and being held by weak hands are currently being scooped up at any price.

We are possibly witnessing the first inning of a Bitcoin super cycle where Bitcoin’s price (denominated in fiat currencies) may begin to reach unimaginable levels.