Bitcoin holdings on crypto over-the-counter (OTC) desks have surged to their highest levels since June 2022, reaching 368,000 BTC, valued at around $22 billion. This significant increase of 153,000 BTC over the past three months, as reported by CryptoQuant, reflects a 70% rise in balances.
OTC desks facilitate large transactions between buyers and sellers without impacting market prices, which is particularly useful for high-volume trades. Recent data indicates that miners are major contributors to this increase in OTC desk holdings. They often use these platforms to sell their BTC discreetly, avoiding market disruptions that could occur on public exchanges.
CryptoQuant’s report highlights a recurring pattern: when Bitcoin balances on OTC desks rise significantly, it often precedes a drop in Bitcoin prices. This trend suggests that substantial selling activity by large investors, such as miners, can lead to temporary price declines. The analytics platform points out that this increase in OTC desk holdings might signal potential short-term weakness in Bitcoin’s price.
As of the latest data, Bitcoin is trading at $60,747, showing a slight increase over the previous 24 hours. The current high levels of BTC on OTC desks could imply that significant selling pressure is looming, which may impact Bitcoin’s price in the near term.
