**Key Takeaways**
Over the past six months, Bitcoin holdings on cryptocurrency exchanges have dropped by approximately 209,000 BTC. This significant decline reflects a broader trend of market participants moving their assets away from trading platforms amid heightened price volatility.
According to Santiment, the outflow from exchanges indicates that both traders and long-term holders are increasingly opting for off-exchange storage during periods of market turbulence. This shift is largely driven by elevated market volatility, which has been influenced by leveraged trading activity and institutional portfolio rotations.
Speculators have been entering leveraged futures positions ahead of major market events, contributing to sustained price swings and liquidation cycles across derivatives markets. As a result, many participants prefer to hold Bitcoin outside of exchanges to mitigate risks associated with sudden market movements and potential platform-related vulnerabilities.
https://bitcoinethereumnews.com/bitcoin/bitcoin-holdings-on-exchanges-fall-by-nearly-209000-btc-over-six-months-amid-market-volatility/?utm_source=rss&utm_medium=rss&utm_campaign=bitcoin-holdings-on-exchanges-fall-by-nearly-209000-btc-over-six-months-amid-market-volatility