Bitcoin Bulls Regain Momentum as Supply on Exchanges Dries Up

Bitcoin’s upward momentum is gaining steam, with the asset hovering just under the $100,000 mark after briefly touching a local high near $97,940.

The recent rally has ended weeks of sideways trading, flipping sentiment across the crypto landscape and reigniting hopes for a fresh breakout.

The price surge comes amid a noticeable drop in the number of BTC held on exchanges—a trend that often signals strong accumulation by long-term holders. According to data shared by prominent analyst Daan, exchange reserves have been shrinking steadily, reducing the available supply of coins for immediate sale. This tightening of supply could act as a launchpad for further price increases if demand holds.

Market observers say that if Bitcoin can clear the psychological $100,000 barrier with solid volume, it could pave the way for a new wave of buying across the digital asset space. Traders are watching closely to see whether BTC can maintain support above recently breached resistance zones.

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From a broader perspective, Bitcoin’s current price behavior reflects a shift back toward risk assets, even as global financial uncertainty persists. Macroeconomic risks, including trade tensions and recession fears, still hang over the markets, suggesting that volatility isn’t off the table. But with exchange balances falling and long-term accumulation rising, many see these as signs that Bitcoin may be preparing for a sustained move higher.

Ultimately, the next few days could be pivotal. A decisive push past six figures would not just mark a new all-time high—it could send a clear signal that Bitcoin’s next chapter of price discovery has begun.

Alexander Stefanov