Matrixport: The exchange BTC balance continues to decline, and its long positions signals are weakening.

According to a report by Golden Finance, Matrixport released a daily chart analysis stating that Bitcoin's balance on exchanges continues to decline. Historically, the balance on exchanges has mostly shown a reverse relationship with price: when the balance decreases, it often corresponds to a bullish environment; when the balance rises, it usually occurs during bearish phases. From the overlay of the two curves, a noticeable divergence in the trends of both has emerged in this cycle. As institutional participants continue to increase, more and more transactions have shifted to the over-the-counter (OTC) trading desks. This trend indicates that institutional capital is gradually becoming dominant, and the structure of the Bitcoin market is also undergoing adjustments and evolution. Compared to previous cycles, the notable change in this round of market activity is the significant absence of retail trading, with price movements being more driven by the inflow and outflow of institutional funds.