According to experts, Bitcoin (BTC) may face a major supply shock as its reserves on exchanges have reached the lowest levels in recent years. Data from CryptoQuant shows that Bitcoin reserves have not been this low since 2022. Despite price fluctuations, the demand for Bitcoin from long-term holders is increasing. This decrease in supply could signal a strong uptrend in the coming months. As Bitcoin enters a new phase of institutional adoption and market integration, companies and whales are heavily buying this cryptocurrency. Last month, ETF publishers bought this digital currency 20 times faster than miners’ production, surpassing the total assets from Satoshi Nakamoto’s holdings. This trend has put Bitcoin supply at risk. Approximately 2.5 million Bitcoins are held in exchange reserves, the lowest amount in about 3 years. While ETF publishers in the US and major organizations are major buyers in the market, 69% of the supply is held by individual investors. Overall, a supply crisis in the Bitcoin market is now very real. So far, 94.3% of all Bitcoins have been mined, and an unknown amount of them is lost. Hence, a slight increase in demand could kick off a new bullish cycle. This demand surge, coupled with recent price declines, may be forming. This week, permanent holders showed a significant increase in demand for Bitcoin, indicating high investor confidence. Moreover, this group is selling their Bitcoins at a slower pace, which could intensify the supply shock. Michael Saylor says, ‘Soon, every billionaire will buy a billion dollars in Bitcoin, and the supply shock will be so severe that we won’t measure Bitcoin’s value against fiat currencies anymore.’ The discussion of creating Bitcoin reserves in the US and many other countries has also emerged. Overall, given the current conditions, the likelihood of a supply crisis in the Bitcoin market is very high. However, macroeconomic factors such as interest rates and global tariffs will also play a crucial role in price trends. You can monitor the prices of all tokens and cryptocurrencies live and in real-time on the momentary price page of digital currencies.
