Bitcoin outflows reached $ 368 million in the second week of April: Bofa strategists

Bitcoin outflows reached $ 368 million in the second week of April: Bofa strategists

Bitcoin has shown enormous resistance this year, has increased over $ 30,000 and has collected over 80 % of YTD win. However, the data indicates that there could be more space for growth.

The flagship cryptocurrency exceeded the most important asset classes in an impressive turn from the market-wide defeat just one year ago.

Bitcoin drains in personal wallets

The strategists of the Bank of America Corp., Alkesh Shah and Andrew Moss, observed that 368 million US dollars were sent to BTC to personal wallets until April 4. Interestingly, this period was witness to the second largest net bitcoin outflow of crypto bonds in 2023.

The duo emphasized in a note that the trend of moving tokens of cryptoplate shapes into their personal wallets usually means that investors try to keep them what indicates a declining sales pressure.

"Investors transfer token from stock exchange walls into their personal wallets if they intend to keep them (or Hodl), which indicates a possible decline in sales pressure."

The Bofa strategists added that concerns about the procedure of the US regulators could have contributed to the drainage against crypto exchanges. For example, Bonzen, including Coinbase and Binance, are subjected to an in -depth examination by the country's supervisory authorities.

The latest increase has again triggered discussions about Bitcoin's potential as a value preservation. Analysts previously underlined the resilience of the crypto asset and pointed out that it survived two previous "winter" before the 2022 downturned. The turnaround brought exponential returns.

Recently, analysts from Bernstein said that it was irrational to prefer gold but not Bitcoin, and compared the preference with "hatred on a faster horse".

Bitcoin a "escape route"

Robert F. Kennedy Jr., for example, believes that Bitcoin is a asset that could offer individuals an “escape route” in the middle of the turbulence in the financial sector. The nephew of former President John F. Kennedy, who had submitted to the US Federal Election Commission on April 5, to compete as a democratic presidential candidate in 2024, presented himself as a Bitcoin supporter.

Kennedy also accused President Joe Biden to have "made a weapon" supervisory authorities, such as the Doj and the FDIC, to force certain banks to hire the operation of crypto companies at the end of last year.

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