Quant explains how there may be a correlation between the Gemini Bitcoin netflow and BTC price tops, based on pattern of the last few years.
Can Gemini Netflow Predict Bitcoin’s Price Tops?
As posted by an analyst on CryptoQuant, the historical chart for the Gemini netflow (30-day MA) vs the price reveals there could be a correlation between the indicator and BTC tops.
The Bitcoin netflow here refers to the net number of coins exiting or entering the crypto exchange Gemini. The indicator’s value is simply calculated by taking the difference between the inflows and the outflows.
When the netflow takes negative values, it means more BTC is moving out of the exchange than in. During such periods, investors are withdrawing their coins to personal wallets, either for hodling or for selling through OTC deals.
Similarly, positive values imply that investors are moving their Bitcoin to exchanges for altcoin purchasing or withdrawing to fiat.
The below chart shows the