Basic Attention Token (BAT) presents a compelling technical setup supported by substantial on-chain accumulation patterns.
The cryptocurrency exhibits hidden bullish divergence on daily charts while exchange data reveals the largest monthly outflow in nearly three years.
This combination of technical resilience and supply reduction creates favorable conditions for continued price appreciation.
BAT currently displays hidden bullish divergence on the daily timeframe. The Relative Strength Index has returned to previous support levels, forming equal lows.
Meanwhile, price action continues establishing higher lows above a well-defined ascending trendline. This pattern differs from regular divergence that typically indicates reversals.
Source: Cryptoquant
Hidden bullish divergence confirms the underlying uptrend remains intact. The recent price pullback represents a consolidation phase rather than trend weakness.
This technical formation often precedes the next upward move in an established trend. The ascending trendline has provided consistent support throughout the current structure.
Price structure refuses to break below key support zones despite multiple tests. This behavior demonstrates strong buying interest at lower levels.
Additionally, the RSI reset provides room for further upside movement. The technical framework suggests buyers remain in control of the broader trend.
CryptoQuant data reveals Binance recorded net outflows of $3.68 million for BAT in December. These withdrawals represent tokens moved from the exchange to external wallets.
The figure marks the highest monthly outflow since March 2022. Such movements typically indicate holders transferring assets to cold storage.
Source: Cryptoquant
Large exchange outflows reduce immediately available selling pressure. Investors moving tokens off exchanges generally plan to hold positions longer term.
This behavior contrasts with keeping assets on exchanges for quick trading or selling. The scale of recent withdrawals suggests growing conviction among BAT holders.
The supply dynamics shift becomes more pronounced when combined with technical strength. Reduced exchange balances limit the tokens available for immediate sale.
As a result, any increase in buying demand faces less resistance from sellers. This supply-demand imbalance often precedes upward price movements.
The convergence of technical and on-chain factors presents a bullish case. Price structure holds key support levels while exchange supply decreases substantially.
Moreover, the hidden divergence pattern indicates the uptrend maintains momentum. These elements position BAT for potential continued gains as accumulation persists.
The post BAT Flashes Hidden Bullish Divergence as Exchange Sees Largest Outflows Since 2022 appeared first on Blockonomi.


