Bitcoin stocks on cryptocurrency exchanges have reached their lowest level in three years. There are currently only 2.5 million BTC available on the exchanges, which raises the question of whether a supply shock is imminent – a situation where a sharp drop in supply can lead to a significant price increase.
Bitcoin is disappearing
According to analytics platform CryptoQuant, the volume of BTC held on exchanges has fallen to its lowest level since 2022. This decline signals that investors are increasingly moving their coins to private wallets, which is often associated with a long-term holding (HODL) strategy.
Another important factor is the increasing demand from institutional investors, especially ETF funds, which are massively accumulating Bitcoin and reducing its availability on the open market. This trend is reflected not only in the declining supply of BTC, but also in the growing interest in alternative investment products focused on Bitcoin. Thus, the smaller amount of BTC on exchanges puts upward pressure on potential prices, especially if demand continues without adequate supply replenishment.
The psychological threshold
Despite increased selling pressure, Bitcoin is holding above the $95,000 threshold, a key psychological level. According to analyst Ryan Lee of Bitget Research, this resistance indicates strong demand and a gradual exhaustion of sellers. However, if BTC were to fall below this level, it could trigger a wave of liquidations of long leveraged positions worth over $1.52 billion.
However, despite possible short-term corrections, the long-term outlook remains positive. Expectations for the end of 2025 range between $160,000 and $180,000, suggesting that the current price level may be a stepping stone to further growth.
