Bitcoin held on exchanges falls to eight-year low

Traders Union
All News
Crypto News
Bitcoin supply falls

All news

Editors' Picks

Crypto News

Financial News

Market Voices

Billionaires

Companies

Broker News

Regulators News

Sergey Shendetskyi

15.03.2026

Bitcoin held on exchanges falls to eight-year low — Bitcoin supply on exchanges hits eight-year low

The amount of Bitcoin held on cryptocurrency exchanges has dropped to its lowest level since late 2017. On-chain data shows that after peaking in early 2020, the share of Bitcoin on exchange wallets has been steadily decreasing without interruption.

Highlights

The amount of Bitcoin held on exchanges has dropped to its lowest point since 2017, signaling a shift toward long-term holding and self-custody.
The approval of Bitcoin spot ETFs in 2024 has led institutional investors to accumulate large amounts of Bitcoin, which are now being stored in corporate custodial solutions like Coinbase Prime and Fidelity.
Retail and large investors moving to cold storage.

Exchange supply declines

The decline in exchange supply means that an increasingly smaller portion of circulating Bitcoins is available for quick sale through centralized platforms. The current level of this metric matches values seen in November 2017. The publication notes that investors have been consistently withdrawing assets from exchanges over the past few years, and the trend toward self-custody has only strengthened.

Loading...

The tweet was deleted by the author.

But we saved everything 🙂.

Analysts from Santiment interpret the supply on exchanges metric as an indicator of market sentiment: a decline usually signals the transfer of coins to private wallets or custodial solutions, while an increase indicates potential readiness among holders to sell. In the current cycle, the market is clearly following the first scenario.

Why investors are moving BTC off exchanges

One of the reasons for this trend is structural changes in the market following the approval of Bitcoin spot ETFs in the U.S. The U.S. Securities and Exchange Commission (SEC) approved spot Bitcoin ETFs on January 10, 2024, expanding institutional access to the asset. A significant portion of Bitcoin is now being accumulated and stored not on regular exchanges, but in corporate custodial solutions, including services like Coinbase Prime and Fidelity.

Another factor is the growing popularity of cold storage. After the collapse of major crypto platforms in recent years, the market has become notably more cautious about storing assets on exchanges. This applies to both retail investors and large holders, who are increasingly transferring Bitcoin to hardware wallets and other forms of self-storage.

What the decline in exchange supply means for Bitcoin's future

A low supply of BTC on exchanges generally means thinner order books: if demand suddenly accelerates, fewer sellers on the market may be able to quickly satisfy that demand. In such conditions, even moderate buying pressure can lead to significant price volatility.

At the time of publication, Bitcoin was trading around $71,476, remaining 43.3% below its all-time high.

The key fact is that the market is receiving two signals simultaneously: supply on exchanges is at its lowest point in more than eight years, and a significant portion of Bitcoin is being moved into long-term storage outside of public trading platforms.

We have previously highlighted that large invesors resume BTC accumulation after January selloff.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.