According to BlockBeats news on October 1, the balance of Bitcoin held in over-the-counter (OTC) trading platforms has surged to 410,000 BTC, marking the highest level since May 2022. This significant increase reflects a rise of over double the 185,000 BTC recorded in March.
This high balance indicates robust liquidity available for buying or selling on OTC desks. A strong liquidity position enables trading desks to execute large orders without significantly impacting Bitcoin’s price. Conversely, a lower balance might suggest challenges in executing trades. Typically, OTC trading clients consist of high-net-worth individuals and institutions, steering clear of retail trading platforms.
The surge in OTC balances comes even as Bitcoin’s price has dipped from its all-time high of $73,500 in March. Interestingly, this trend mirrors the behavior observed in late 2020 and early 2021, when OTC balances jumped from 235,000 BTC to 435,000 BTC within six months. However, the key difference this time is that Bitcoin’s price is curr
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