Crypto analysts think that the declining Bitcoin supply on exchanges suggests “something is happening” that could support a bull market, provided demand “continues to grow.”
The amount of Bitcoin stored on crypto exchanges has reached a new supply low, which may be the catalyst that Bitcoin needs to successfully retest and properly move back above $60,000.
“With Bitcoin reserves on exchanges hitting new lows for the year, this could indicate reduced selling pressure, potentially favoring a bull market if demand also continues to grow,” CryptoQuant contributor Gaah highlighted in an Aug. 29 analyst note.
The year-to-date high for Bitcoin supply on exchanges was just over 3.05 million Bitcoin. Source: CryptoQuant
