Bitcoin exchange inflows have plummeted to unprecedented levels, indicating a significant shift in investor behavior. According to CryptoQuant, daily Bitcoin inflows have dropped substantially since reaching an all-time high of $73,800. This trend suggests that investors are hesitant to sell their cryptocurrencies on exchanges.

The data reveals that April and May 2024 saw some of the lowest daily exchange inflows in the last decade, with only 8,400 Bitcoins sent to exchanges on April 20. This marked a significant decrease, last seen when Bitcoin was trading below $1,000. CryptoQuant's figures encompass a wide range of spot and futures-focused exchanges, highlighting a notable change in hodler sentiment this year. This shift coincides with increased institutional participation in Bitcoin investment.

Prominent figures in the market have shared their insights on this trend. Mignolet, a contributor to CryptoQuant, noted that Bitcoin whales (holding between 1,000 and 10,000 Bitcoins) are not actively participating in this upward trend cycle. This suggests that whales may be waiting for the cycle to end before selling. Additionally, Checkmate, Glassnode's lead on-chain analyst, pointed out that new spot Bitcoin exchange-traded funds might be influencing the figures, and emphasized that tracking whale wallets can be noisy and may not always yield accurate insights.