Binance recorded $1.23 billion in net outflows during the week beginning June 29, marking a 207% increase from about $400 million in the previous week, according to DefiLlama data. The surge was driven by Ethereum withdrawal activity climbing to its highest level in more than 3 years. Monthly net outflows reached approximately $3.2 billion, placing Binance at the center of a broader shift in centralized exchange balances.
Binance Records 166,000 Ethereum Withdrawals in Single Day
Binance recorded more than 166,000 Ethereum withdrawal transactions in a single day, the highest level since March 2023, according to CryptoQuant community analyst Darkfost. The withdrawal surge coincided with ether rebounding from recent weakness, with ETH rising approximately 10% over 2 days. Over the past 7 days, ETH rose roughly 12.5% to trade around $1,766, while bitcoin gained about 4.3% to trade near $62,925.
Exchange outflows can reflect users moving assets into self-custody, institutional transfers, market positioning, regulatory caution, or longer-term accumulation. Darkfost stated that "this surge in withdrawals could reflect genuine demand building around the $1,500 level, with investors choosing to take exposure and pull their funds off the exchange, a pattern that typically points toward longer-term accumulation rather than short-term trading."
EU MiCA Regulation Cited as Potential Driver
Darkfost pointed to the European Union's Markets in Crypto-Assets Regulation as one factor that may be influencing user behavior, alongside short-term market positioning. MiCA has changed the operating environment for crypto exchanges serving European users, especially around stablecoins, compliance standards, disclosures, and authorization requirements. The 207% weekly rise in net outflows created a stronger signal than a normal week of withdrawals, especially when it overlapped with a multi-year high in Ethereum withdrawal transactions.
Other Exchanges Report Mixed Outflow and Inflow Activity
Several other centralized exchanges also recorded net outflows over the past week. Bitfinex saw $407.5 million in weekly outflows, while Gate recorded $214.3 million. OKX posted $87.1 million in outflows, and Bybit saw $78.4 million leave over the same period.
Crypto.com and HashKey Exchange led the positive side with about $63 million and $53.3 million in net inflows, respectively. KuCoin recorded $22.1 million, Gemini saw $17.4 million, and Bitvavo posted $15.8 million in net inflows. The split shows that centralized exchange liquidity is rotating rather than leaving the market evenly.
FAQ
What caused Binance's $1.23 billion weekly outflows during the week beginning June 29?
Binance's outflows were driven by Ethereum withdrawal activity climbing to its highest level in more than 3 years, with over 166,000 ETH withdrawal transactions recorded in a single day. The withdrawals coincided with ether rebounding approximately 10% over 2 days, and potential regulatory factors including the EU's Markets in Crypto-Assets Regulation.
How did Ethereum and Bitcoin perform during the withdrawal surge?
Over the past 7 days, ETH rose roughly 12.5% to trade around $1,766, while bitcoin gained about 4.3% to trade near $62,925. The withdrawal surge occurred as ether posted a rebound from recent weakness.
Which other exchanges experienced outflows alongside Binance?
Bitfinex saw $407.5 million in weekly outflows, Gate recorded $214.3 million, OKX posted $87.1 million, and Bybit saw $78.4 million. On the inflow side, Crypto.com recorded about $63 million and HashKey Exchange saw $53.3 million in net inflows.
