With the surge in the price of Bitcoin, more people are considering the digital currency as an asset class best fit as a store of value. These see Bitcoin as a technology that meets their savings needs at a time of uncertainty in the financial market.
This is coming at a time that the mining community has reduced the volume of coins that they send to exchanges. A trend that is prevalent when the anticipation is high that the price of Bitcoin would rise.
It is important to know that this trend would continue despite the recent move by China to clamp down on cryptocurrencies. Bitcoin is currently trading at $38,478 as the biggest mining country announced plans to crack down on Bitcoin mining. This news led to the recent drop in the coin market.