On Tuesday, CryptoQuant reported a decline in Bitcoin's apparent demand growth, potentially challenging the sustainability of crypto price rallies. This contraction marks the first instance since September 2024, following a period of acceleration in November-December 2024 spurred by the U.S. election results. Simultaneously, following U.S. President Donald Trump's announcement of a potential U.S. crypto strategic reserve, significant inflows of XRP and BTC were observed into exchanges. Hourly XRP inflows reached up to 193 million, largely driven by whale transactions exceeding 1 million XRP. Bitcoin inflows surged from 500-1,000 to 6,739 BTC daily, while ETH inflows spiked to nearly 300,000 hourly. CryptoQuant analysts noted that the cryptocurrency surges and subsequent falls on Monday and Tuesday indicate that real spot demand remains in contraction territory. Inflows to exchanges often signal an intention to sell.
Bitcoin Demand Growth Declines, XRP and BTC Inflows to Exchanges Spike After Trump's Crypto Reserve Announcement
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