TL;DR:
The recent price drop of the pioneer cryptocurrency to $60,000 triggered a massive surge in Bitcoin exchange inflows. Analysts reveal that this phenomenon is characterized by a wholesale movement of assets toward exchanges, driven by widespread fear and anxiety.
On-chain analysts at Darkfost indicate that flow into Binance exceeded 100,000 BTC in just seven days—a figure that surpasses even the corrections seen in early 2025. Similarly, “shrimps,” or small investors, tripled their usual daily deposits in a desperate attempt to exit the market.
— Darkfost (@Darkfost_Coc) February 8, 2026
Bitcoin drop sparks a wave of retail panic.
"On February 5, inflows from shrimps to Binance exceeded 1,000 BTC in a single day, while their monthly average was closer to 365 BTC. Such a spike had not been seen since July 2025, when Bitcoin was still advancing toward new all… pic.twitter.com/xvNfyX8lvy
This visceral behavior from short-term holders provided the necessary fuel for a cascading liquidation that shook the market structure. However, what began as retail panic quickly spread to professional and institutional trading desks.
Notably, Coinbase Advanced—the preferred tool for funds and active traders—recorded inflows of approximately 27,000 BTC within 24 hours. Therefore, it is clear that uncertainty did not discriminate between small wallets and large capital during the crash.
Despite the selling pressure, the market seems to have found a reprieve after testing key realized price zones for long-term holders. Consequently, Bitcoin was able to recover quickly, trading again around $71,000 as exchange inflows return to their historical average.
In summary, although this exhaustion event pushed the asset into an extreme oversold zone, the system will need time to digest the volatility. For now, the cessation of selling urgency from the retail sector suggests that a “bottom” may finally be establishing itself.
Also read: Shiba Inu Hits Zero Coin Burns: What’s Going On Here?
