Bitcoin briefly set a new all-time high above $124,000 earlier today before experiencing a sharp retracement that brought the asset back below the $120,000 level. As of press time, BTC is trading at $118,336, representing a weekly loss of 1.9% and a 4.5% decline from its peak.
While overall exchange flows suggest accumulation, Binance has seen a contrasting pattern. Data from CryptoOnchain shows Binance recorded its largest single-day positive net flow in the past 12 months, indicating a concentration of BTC inflows to the platform.
Such divergences, when high whale ratios coincide with significant inflows to one exchange, have historically preceded both sharp sell-offs and leveraged short squeezes, depending on whether the inflows are directed toward spot selling or derivatives trading.
The absence of similar large-scale selling now suggests a reduction in immediate downside risk, though market conditions remain dependent on other factors such as derivatives positioning and macroeconomic developments.
While the broader trend of net outflows from exchanges supports a longer-term bullish outlook, the elevated whale ratio and concentrated inflows to Binance increase the likelihood of short-term volatility.
With Bitcoin hovering just below the $120,000 mark, the next few trading days will be critical in determining whether the market stabilizes or sees further corrective moves.
Featured image created with DALL-E, Chart from TradingView
