An increasing number of altcoins are signaling a price increase as traders collectively withdraw tokens from Binance – the world's largest crypto exchange – in the context of analysts calling this a 'large-scale accumulation phase'.
According to the blockchain analysis platform CryptoQuant, the latest net flow heat map on Binance records strong outflows in a range of altcoins, notably including Ethereum (ETH), Chainlink (LINK), Shiba Inu (SHIB), Dogecoin (DOGE), Aave (AAVE), along with many other tokens.
As of now, over a dozen tokens have turned deep red on the heat map – a signal indicating that withdrawals significantly outweigh deposits.
Typically, assets withdrawn from an exchange are a sign of long-term investment confidence, as investors choose to store assets in personal wallets instead of selling them on the market.
"The net flow heat map of Binance reveals an extremely optimistic pattern," the report from CryptoQuant emphasizes. "Many altcoins are turning red – indicating that outflows exceed inflows – this is a typical sign of accumulation by experienced investors."
More and more altcoins are being withdrawn from hot wallets.
Net flow data reflects the difference between the amount of coins deposited and withdrawn from exchanges. When withdrawals exceed deposits, this often indicates that investors are buying in and transferring tokens to personal wallets for storage, demonstrating long-term confidence. Conversely, if deposits are higher than withdrawals, it may signal increasing selling pressure.
The heat map is a visual tool that quickly identifies where accumulation activity is taking place. In the latest snapshot, prominent red bars appear in many tokens such as Enjin (ENJ), Fetch.ai (FET), Aavegotchi (GHST), Smooth Love Potion (SLP), Gitcoin (GTC), Illuvium (ILV), Curve (CRV), 1inch (1INCH),…
Notably, ETH along with popular memecoins like Dogecoin (DOGE) and Shiba Inu (SHIB) are also on this list, indicating that the accumulation trend is spreading across multiple market segments.
On Binance's heat map, tokens turning deep red indicate that withdrawals significantly exceed deposits – a typical signal of accumulation activity. In contrast, tokens displayed in green signify that more funds are flowing in, possibly as a preparation for short-term trading or profit-taking.
What does net flow out of Binance mean?
This signal is made even more noteworthy by the very place it appears: Binance – the largest exchange in the world by trading volume and user count. Developments on this exchange often closely reflect the overall market sentiment, especially from institutional investors and whales – those who can influence price trends.
According to insights from the on-chain analysis platform CryptoQuant, Binance is not merely an exchange but also the 'heartbeat' of the global crypto market. When accumulation patterns appear here, it is often indicative of the quiet yet strategic actions of professional investors with the best information in the market.
CryptoQuant points out that superior liquidity, global coverage, solid credibility, and increasing appeal to institutional capital are key factors making the net flow data on Binance a highly reliable market indicator – a 'thermometer' measuring investor expectations and sentiment.
Significant withdrawals of tokens from exchanges like Binance are often viewed by analysts as a sign of an accumulation cycle – a preparation for the next price increase phase. According to CryptoQuant, the current cash flow model is sending clear signals: selling pressure is decreasing, supply is gradually tightening, and confidence is returning from institutional investors.
Notably, this is not the first time CryptoQuant's heat map has recorded early signs of accumulation. Similar patterns have appeared before strong growth phases of altcoins in 2023 and early 2024 – and have been validated by subsequent market developments.
However, despite the current picture being positive, caution is still necessary. Net flow only provides directional trends, not precise timing for price increases. Additionally, a few large-scale withdrawal transactions – especially with tokens that have low liquidity – could skew the data.
Finally, macro factors such as global economic news, Bitcoin volatility, or legal events still significantly influence the actual potential for an altcoin season. Nevertheless, with what is happening, the market shows many promising signals for the upcoming phase.