It seems that the latest trend of large withdrawals came about in 2017. Perhaps after the bitfinex and tether investigations were launched. It could take time for consumer confidence to be restored in crypto exchanges.
Hopefully the confidence is never restored.
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Any user so keen on decentralization of the cryptocurrency ecosystem would definitely say this same thing you said, but in reality, confidence in centralized body of crypto would be restored again, just that it will take some time, and how long?, I would say as long as FTX continues to remain in the news until it is totally and absolutely forgotten.
Personally, I am an advocate of decentralized cryptocurrency system, but the reality remains that the decentralized protocols we have currently are not yet matured enough to carry the weight of the entire cryptocurrency market capitalization, many traders still largely depend on centralized exchanges for their day to day trading due to the fact that decentralized exchanges lack the liquidity and volume required to trade and make profit successfully in the shortest period of time.
The people I consider to be making serious mistakes are those that are not traders, yet they leave their bitcoins/cryptocurrencies on centralized exchanges, reason for this I don't know, but I guess this is because many will never learn in a simple way, until they are forced to learn it the hard way.