Following the SEC’s filing of its lawsuit against the Coinbase and Binance crypto exchanges, on-chain analytics company Glassnode made an astonishing disclosure on the markets.
Shortly after the SEC announced that it was suing the two largest exchanges, the market saw a wave of erratic movements that led to outflows.
Despite the importance of this change of events and its predicted effects, Glassnode observes that the size of realised losses has remained largely smaller.
The on-chain analytics company emphasises that at $112 million, the size of realised losses that were reported on-chain are still negligible. This is almost $3.05 billion ($96.5%) less than the biggest known surrender incident. It continues by saying that this may point to increasing market players’ resilience.
According to a June 6 Glassnode analysis, outflows from the Binance exchange are still around 74% lower than their highest net outflow of -40,300 BTC.
This is confirmed by the fact that Bitcoin, the biggest cryptocurrency by market capitalization, stunned the market by almost wiping out all of its prior losses. With a price of $26,646, bitcoin is presently up 3.4% for the day.
Here are levels to watch
A renowned Bitcoin analyst named Will Clemente just said something intriguing on Twitter: “Bottoms are often marked when price no longer negatively reacts to bad news; tops are often marked when price no longer positively reacts to good news.”
He continues by saying that the price of Bitcoin is moving as “if the majority of those who were going to panic sell over the last 1.5 years have already done so.”
Following the current market turbulence brought on by the Binance and Coinbase SEC accusations, Glassnode identifies important Bitcoin support levels to keep an eye on.
The short-term holding cost basis at $26,300, the adjusted realised price at $25,300, and the 200-weekly moving average (WMA) at $26,400 all provide solid support for the current spot price of bitcoin.
According to Glassnode, continued duration above these levels would continue to be a positive indication of the current trend.
