Data shows that Bitcoin’s buying and selling ratios have recently been different from those of other exchanges. This is the hint that it is possible.
Bitcoin Acquisition/Sell Ratio soars on other platforms, but no algorithm
In a secret QuickTake post, an analyst discussed Taker’s recent split with other sectors of the industry. “Taker Buy and Taker Ratio” refers to an indicator that (as the name implies) tells us how Taker Buy and Taker sell quantities on a given exchange or exchange compared group.
When the value of the metric is greater than 1.0, this means that more users on the platform are willing to buy tokens at a higher price. Such a trend means bullish sentiment dominates the communication. On the other hand, the indicator is below the threshold, which shows that the number of Taker sellers exceeds the Taker Buy volume and that most traders have a bearish mentality.
Now, here is a chart showing the trends of Bitcoin acquisition/selling on all exchanges over the past few months:
The value of the metric appears to have registered a huge positive spike in recent days | Source: CryptoQuant
As shown in the above chart, the 7-day average of Bitcoin acquisition ratios across all exchanges has witnessed a larger spike recently and has been well above the 1.0 level, indicating that Taker buys have significantly exceeded Taker sellers’ sales.
Despite bullish sentiment throughout the market, users of binary exchanges still show different behaviors. Below is a chart specifically for Taker buying and selling ratios for this platform.
The trend in the indicator for Binance | Source: CryptoQuant
From the chart, it can be seen that Bitcoin’s 7-day average income/buy-sell ratio has recently dropped on Binance and is currently at 1.0 points. Therefore, investors in exchange seem to have been inclined to bearish sentiment.
“Binance typically handles about 60% of global BTC spot volume and most futures open interest, which makes its order book the main stage for price discovery and large-scale execution,” Quant notes. “When Binance Taker Flow tilts to the seller, it often covers bullish prints elsewhere.”
The analyst also pointed out that as early as August 2023 and February 2024, similar differences occurred in the market. Within the days after two modes, Bitcoin fell 5 to 10% in the days after this mode.
Now, whether this difference will remain in good shape for the next few days may have a bearish effect on BTC, or whether Taker’s buying and selling ratio will see a turnaround on the platform and be consistent with other markets.
BTC price
At the time of writing, Bitcoin floated about $104,300, down more than 5% over the past seven days.
BTC seems to have gone through some bearish trend recently | Source: BTCUSDT on TradingView
Featured images from dall-e, charts from cryptoquant.com, tradingview.com
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