Bitcoin Leaves Exchanges as Ethereum Returns: A Striking Divergence Amid the Decline

As Bitcoin and Ethereum prices fell, the amount of BTC on exchanges decreased by about 15,000 between October 4–8, while the amount of ETH increased by more than 100,000.

Data shared on October 9 by on-chain analytics platform Santiment revealed a different picture for the market’s two largest cryptocurrencies. Despite Ethereum falling by about 10% and Bitcoin by 6% over the same period, their exchange balances moved in opposite directions.

Ethereum returned to exchanges as Bitcoin flowed out

Between October 4–8, the amount of ETH held on exchanges increased by 100,000 ETH, or about 2% in percentage terms. Bitcoin exchange balances, meanwhile, decreased by about 15,000 BTC.

As a result, the amount of Ethereum on exchanges grew during the price decline, while Bitcoin’s declined. Santiment emphasized that Bitcoin has been flowing out of exchanges since October 4, while Ethereum has been returning to them.

This comparison covers a broader group of exchanges than the analysis of ETH withdrawals, which focuses solely on Binance reserves; therefore, the decline in Binance’s reserves and the overall increase across the exchanges tracked by Santiment reflect different scopes.

ETF flows diverged as well

According to information Santiment attributed to Farside data, spot Ethereum ETFs saw outflows for the sixth consecutive trading day on October 6. Bitcoin funds, by contrast, saw inflows that day.

Considered together, exchange balances and fund flows show that investor activity in the two assets did not move in the same direction, even as both prices declined. On the Ethereum side, both fund outflows and the increase in ETH on exchanges stand out.