Bitcoin exchanges supply has dropped to its lowest in 8 years, sparking hopes of a price recovery towards a new BTC all-time high.

According to a Mar. 27 post on X by blockchain analytics firm Santiment, Bitcoin’s (BTC) supply on exchanges has dropped to 7.53%, its lowest level since 2018. This implies that more investors are moving their Bitcoin into self-custody, which lowers the amount available for immediate selling. 

Because it signifies less short-term sell pressure and rising confidence among holders, a declining exchange supply is frequently interpreted as a bullish sign.

One of the main factors driving Bitcoin’s price movement has been institutional demand. Bitcoin exchange-traded funds have seen steady inflows since Mar. 14, which has caused BTC to rise more than 10%. …