Bitcoin Outflow

Definition ∞ Bitcoin Outflow refers to the movement of Bitcoin tokens from centralized cryptocurrency exchanges to private wallets or other platforms. This transfer typically suggests a reduced intent to sell the asset immediately. It serves as a metric for investor sentiment and long-term holding conviction. Such movements can decrease exchange liquidity.
Context ∞ Significant Bitcoin outflows are frequently reported in crypto news as an indicator of accumulating positions by long-term holders, often termed accumulation. These movements can forecast reduced selling pressure on exchanges and potential future price appreciation. Observers monitor this metric to gauge market sentiment and supply dynamics.