Bitcoin OTC Market Balance Hits 410,000: Highest Liquidity Since May 2022

On October 1, COINOTAG news reported data from CryptoQuant revealing that the total amount of Bitcoins on the OTC market has surpassed 410,000, reaching the highest levels since May 2022. This figure is more than double the 185,000 observed in March. The liquidity on the OTC counters is crucial as it signifies the capacity to execute large-scale transactions. A substantial balance suggests robust liquidity, easing the execution of large orders, whereas a low balance might indicate trading complexities. OTC transactions are typically conducted by high-net-worth individuals or institutions, bypassing retail trading platforms. This trading method allows for significant buying and selling activities without influencing Bitcoin’s price on centralized exchanges (CEX). The data indicates a remarkable increase in OTC balances over the past six months, despite Bitcoin’s declining value from its peak of $73,500 in March. This surge mirrors a similar pattern seen from late 2020 to early 2021, although the Bitcoin price trajectory was upward back then, contrasting with the current modest decline.