Bitcoin (BTC) price continues its decline, falling further from its March all-time high of $109,000.

CryptoQuant contributor EgyHash has highlighted a troubling development on Binance that could further pressure Bitcoin's price.

Bitcoin’s price has fallen sharply in recent times, dropping further from its March all-time high of $109,000. As of writing, Bitcoin is trading at around $81,900, having declined by 24.6% from its yearly peak.

This bearish trend has been accompanied by some troubling developments on Binance, one of the world’s largest cryptocurrency exchanges, which could put additional pressure on Bitcoin’s price, as EgyHash, a contributor to CryptoQuant, has noted.

7-Day Moving Average Of Mean Coin Inflows Is Increasing

EgyHash highlights that there has been a steady increase in key metrics on Binance, which indicate growing sell-side activity. One such metric is the 7-day moving average of mean coin inflows, which shows that investors are making larger and more frequent deposits into Binance.

This uptick in inflows can often precede heightened selling activity, as it suggests that more coins are becoming available for sale on the exchange’s order books.

Furthermore, the “Bitcoin: Exchange Inflow (Top10)” indicator, which tracks the total coin volume of the top ten largest inflow transactions, has reached levels last seen nearly a year ago. This surge suggests that significant amounts of Bitcoin are being moved onto Binance, potentially with the intent to sell.

Additionally, Binance’s Bitcoin reserves are also increasing, returning to levels last observed in November of the previous year. Typically, a rise in exchange reserves reflects an increase in coins held by the platform, which can signal more selling pressure.

This view is further supported by the Taker Buy/Sell Ratio, which reveals that sell orders currently outpace buy orders, painting a bearish picture for the market.

This accumulation of factors—rising inflows, growing exchange reserves, and a dominant bearish sentiment—could indicate that Bitcoin’s downward trajectory may continue.

Examining The Role Of Unrealized Profit And Loss (NUPL)

While sell pressure on exchanges is a significant factor, other indicators are offering a broader perspective on the market’s overall sentiment.

Another CryptoQuant analyst, tugbachain, recently discussed the Net Unrealized Profit/Loss (NUPL) metric, which tracks the network’s unrealized profits and losses to determine whether investors, on average, are holding Bitcoin at a gain or a loss.

According to tugbachain, the NUPL currently sits just below the 0.50 support level. Historically, a reading below this threshold has coincided with bearish phases, while a recovery above it can suggest renewed buying interest.

If Bitcoin’s monthly close for February exceeds this 0.50 mark, it could indicate a shift toward more optimistic price action, possibly encouraging long-term holders to re-enter the market.