Trump’s victory in the US elections led Bitcoin to enter a bull run unlike ever before. However, the community grows concerned because of an unusual pattern occuring in BTC’s cycle, due to which its supply on major crypto exchanges is reducing dramatically.
Bitcoin Reserves
As per the CryptoQuant, the BTC reserves on all exchanges have slipped below 2.68 million as of November 18, 2024. Many users on X are speculating “massive supply shock” in the upcoming days.
Many experts believe that investors are now turning towards BTC ETFs rather than trading after Trump announced the creation of a new National Bitcoin Reserve. According to the report, BTC Spot ETFs have over accumulated 5.3% of all circulating BTC.
Crypto experts say that the shortage of supply against demand could skyrocket BTC’s price. If this happens, Bitcoin price predictions show it could easily break the psychological resistance of $100,000.
The holdings in physical BTC ETFs surged from 629,900 BTC on January 1 to 1.05 million BTC, displaying a growth of 425,000 BTC. This surge boosted ETF ownership from 3.15% to 5.33% of the total mined supply of 19.78 million BTC in 10 months.
At the time of publication, BTC price has crossed over $92,000 second times in a week with a total market cap of $1.82 trillion, making it the 7th largest asset in the world.
Most Bitcoiners have sent their BTC holdings into cold wallets, resulting in a huge drop in the number of sellers.
Also Read: MicroStrategy Buys Another $4.6B Bitcoin, BTC Price to $100K This Week?
