Amount of Bitcoin Held on Exchanges Falls to 3-year Low
As of June 19, 2024, according to data from CryptoQuant, the total amount of Bitcoin available on exchanges has dropped to a 3-year low.
Currently, there are only 2,825,703 Bitcoin remaining on exchanges, compared to 3,039,000 in January 2024.
This decrease in exchange reserves indicates a lower selling pressure and the potential for supply shocks, as there is a limited supply of Bitcoin available for purchase.
In January 2024, the approval of Bitcoin ETFs in the United States and subsequent accumulation by asset managers like BlackRock added to the pressure on Bitcoin’s supply.
BlackRock’s iShares Bitcoin Trust (IBIT) alone held 274,000 Bitcoin as of June 6, and there are currently 11 Bitcoin ETFs trading in the US.
The demand for Bitcoin is also evident in the monthly inflows into digital asset funds, which reached $2 billion in May 2024. This was mainly driven by investments in Bitcoin funds and products.
