The crypto market has been reeling from the demise of FTX, which was one of the leading crypto exchanges, along with other businesses that were affiliated with it.
Since then, one of the hot topics has been proof-of-reserves of different crypto exchanges, which they have been sharing to reassure their clients.
However, this certainly has not stopped crypto enthusiasts from withdrawing massive quantities of bitcoin and Ethereum holdings from centralized exchanges.
Statistics show that since November 7th, 2022, people have withdrawn more than $3.4 billion worth of bitcoin from exchanges in seven days.
The FTX fiasco started more than a week ago and it has undoubtedly shaken the trust people have had on the crypto market and the companies operating within it.
Statistics indicate that trading volume on exchanges has hit the highest in months and there has also been a sharp uptick in the number of withdrawals taking place.
The prices of cryptocurrencies continued to fluctuate significantly in the last seven-day period, but momentum finally dropped to levels before November 7th on Sunday.
Cryptoquant.com shared statistics, which show that on November 7th, the total amount of bitcoin held on exchanges was 2,312,458 tokens.
On November 13th, this number dropped down to 2,098,600 BTC. This means that since November 7th, almost $3.4 billion worth of BTC was withdrawn from exchanges.
According to cryptoquant.com, a decline in exchange reserves shows that selling pressure is low. Other statistics were also put forward by etherscan.io, Bituniverse, and Peckshield.
They show that Coinbase is the exchange that currently has the highest Bitcoin reserves. It is followed by Binance which has the second-highest bitcoin reserves.
Huobi Global is third, while the fourth and fifth slot belongs to Kraken and Okx, respectively. It should be noted that it was not just Bitcoin that was withdrawn from exchanges.
There were also significant Ethereum (ETH) withdrawals that took place during the same time period from the leading trading platforms.
Data showed that the number of ether tokens on exchanges was 21,640,394 ether on November 7th, but this figure declined to 20,077,244 ether in a week’s time.
As per this data, the total number of ETH tokens withdrawn was 1,563,150, which was a decline of 7.22%. The USD value of the ether withdrawn was about $1.8 billion.
If you combine the value of both BTC and ETH that was withdrawn during the seven-day period, it comes to around $5.3 billion.
Moreover, crypto enthusiasts have also been keeping track of wallets that belong to crypto exchanges. This has become easier since many exchanges shared their proof-of-reserves with the general public.
There have been a significant number of transactions through the exchange wallets of Huobi, Kraken, Binance, Bitfinex, and Crypto.com.
For instance, the last 24 hours saw a significant increase in transactions through the Ethereum wallet of Crypto.com.
Around 90,000 ETH transactions were performed via the wallet and ETH wallets of Huobi and Kucoin also saw significant increases in transactions in a 24-hour period.