Due to increased institutional demand, Bitcoin CEX reserves have fallen to a multi-year low

ChainCatcher message, based on CryptoQuant data, the reserves of Bitcoin trading platforms have fallen to their lowest level since October 2021. The data shows that over 51,000 Bitcoins have been withdrawn from major cryptocurrency exchanges in the past month.

This trend reduces the liquid supply of Bitcoin, indicating that investors are moving their tokens to cold wallets as part of a long-term holding strategy. This outflow of Bitcoin from exchanges to cold wallets has been a trend for years and may be driven by factors such as the rise in Bitcoin prices, the approval of spot Bitcoin ETFs, and expectations of Bitcoin halving.