Crypto Dip Buying Continues As Binance Sees $2.4M Inflows

On August 8, on-chain analytics platform Lookonchain reported that the world’s largest crypto exchange, Binance, saw a net inflow of $2.4 billion since the market crash on August 5.

He added that the majority was in stablecoins with an inflow of $1.33 billion in USDT and $519 million in USDC. That suggests retail has been buying the dip, he noted.

“Some investors seem confident in the market and are buying the dip.”

Since the market crash on August 5, #Binance has experienced a net inflow of $2.4 million.

This includes a net inflow of $1.33 million $USDT and $519 million $USDC.

Some investors seem confident in the market and are buying the dip. pic.twitter.com/hBKmXDKSEa

— Lookonchain (@lookonchain) August 8, 2024

The retailer buys The Dip

Additionally, Binance trading volumes rose to their highest levels since mid-April on August 6, when they surpassed $50 billion as retail began to load.

Since then, daily trading volume on the stock market has fallen to $20 billion, which is still slightly higher than in the weeks before the crash.

Coinbase saw a similar spike in daily trading volumes on August 6 when they rose to $9 billion, before falling back to $3.2 billion, according to CoinGecko.

Since the market bottom on August 5, total capitalization has recovered about 13% to reach $2.1 trillion, with about $250 billion re-entering the markets on the buying slide .

Lookonchain also observed institutions buying the dip with large inflows of stablecoins at crypto liquidity provider Cumberland.

Institutions are buying the download!

In less than 2 days, #Cumberland received 372 million $USDT from #TetherTreasury and moved it to #Coinbase, #Kraken, #OKX, #Binance i #Forwarder.https://t.co/yYuVGPsQjXhttps://t.co/1gyDg1hMJn pic.twitter.com/mH55k0x6PG

— Lookonchain (@lookonchain) August 8, 2024

Additionally, there was some institutional buying for Ethereum over the past few days as spot ETH ETFs posted positive inflows while spot Bitcoin ETFs saw exits.

However, that trend ended on August 7 when there was an outflow of $23.7 million from ETH ETFs, while BTC funds were positive with an aggregate inflow of $45.1 million, according to Farside Investors.

In addition, on-chain analytics platform Santiment revealed that entities with total holdings between 10 and 1,000 BTC “accumulated rapidly with the price drop that saw the major crypto asset drop below the $50,000,” in a post on X on Aug. 8.

Crypto market outlook

The crypto market cap has remained stable over the past 24 hours at around $2.1 trillion, returning to mid-February levels.

Bitcoin fell to $54,600 in late trading on August 7, but managed to recover to $57,500 during the Asian session on Thursday morning.

Ethereum remains weak, falling below $2,500 and was unable to recover from that level, trading at $2,432 at the time of writing.

Most altcoins are also at bear market levels, apart from XRP, which got a big boost thanks to a favorable ruling and a smaller-than-expected fine in its ongoing battle with the SEC.

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