Opinion: CEX and Miner Reserves, Stablecoin Flows Show Funds Leaving the Market
BlockBeats News, November 4th, according to the research firm XWIN Analysis, Bitcoin CEX Reserves Increase for the First Time in Six Weeks, indicating that investors are moving Bitcoin back to CEX, which is usually a sign of profit-taking or risk mitigation. Historical data shows that this influx of funds indicates traders preparing for potential market fluctuations, adopting a defensive strategy.
At the same time, Miner Reserves have dropped to the lowest level since mid-2025, indicating that due to the suspension of energy subsidies and tax deductions during the government shutdown, miners are forced to sell Bitcoin to cover operating costs.
In addition, Stablecoin Withdrawal Volume from CEX Soars to a Historic High, highlighting funds shifting from risk assets to dollar-pegged safe-haven assets. In other words, liquidity is flowing back from the open market to stable value stores.
CEX reserves, Miner reserves, and Stablecoin withdrawals, these three metrics together form a consistent narrative: capital is fleeing risk, on-chain liquidity is contracting. Investor sentiment also reflects this dynamic. The "Fear and Greed Index" has dropped to "Extreme Fear" levels, echoing levels seen during the 2023 banking liquidity crisis.
XWIN stated that despite the Congressional Budget Office (CBO) predicting a brief rebound in the market once the government shutdown ends, on-chain data shows that the recovery of confidence and capital will take longer. For Bitcoin, this period is not simply a buying opportunity on the dip, but a stress test on conviction, liquidity, and patience in a market environment of fiscal dysfunction.
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