Bitcoin exchanges have reduced their BTC balances to nearly $10B by 2024
Nearly $10 billion worth of Bitcoin (BTC) has left crypto exchanges after the launch of US exchange-traded funds (ETFs).
Data from on-chain analytics firm Glassnode shows that exchanges have dropped more than 136,000 BTC since January 11.
BTC exchange trends do not show signs of profit gathering
Bitcoin supply volatility continues to swing in the bulls' favor as exchanges see mass exits this quarter.
US spot Bitcoin ETFs have been trading for less than three months, but in that time, nearly $9.5 billion worth of BTC has been removed from major trading platforms.
As of March 28, exchange data tracked by Glassnode contained a combined 2,320,458 BTC – the lowest balance since April 2018.
The trend shows no sign of abating. According to Glassnode, Withdrawals on March 27 alone exceeded 22,000 BTC ($1.54 billion) – the third largest daily revenue of 2024.
Meanwhile, JA Maartunn, a contributor to the on-chain analysis platform CryptoQuant, analyzed market flows and pointed to a massive move of the stablecoin US Dollar Coin (USDC) to Coinbase, the largest US crypto exchange.
He noted that this was the largest such transfer of income in history.
«$1.4B USDC just moved to Coinbase. Strong buying pressure coming? ” he asked in part from a related post on X.
Optimism increases with bitcoin halving
The long-term impact of ETFs on BTC supply – and therefore price – is a growing topic among market watchers.
RELATED: Bitcoin Shows ‘Signs of Fatigue' as Q1 BTC Price Closes to 70%
As Cointelegraph reports, multiple sources are now predicting that a major “squeeze” in supply — where demand outstrips BTC for sale — will make itself felt in the next six to 12 months.
EFF purchases alone represent greater purchasing power than the “new” BTC unlocked by miners every day.
After the block subsidy halving coming in mid-April, that ratio will further increase as the BTC supply expands to 3.125 BTC at the new mine.
“The biggest halving in Bitcoin history is just days away,” said Charles Edwards, founder of quantitative bitcoin and digital asset fund Capriole Investments, in a recent market commentary.
“Bitcoin will be more difficult than gold for the first time, at half the supply growth rate. It has increased institutional interest through ETFs, squeezing supply from the halving program and taking Bitcoin as the most difficult asset in the world. There is more. Stay tuned in April.”
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
