Bitcoin Exchange Supply Slumps With Coinbase’s 58,000 BTC Outflow

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The cryptocurrency market experienced a seismic shift as Bitcoin (BTC) exchange supply plummeted to an all-time low, with about 58,000 BTC withdrawn from Coinbase, one of the leading cryptocurrency exchanges.

Bitcoin Exchange Supply on the Decline 

According to Coinglass, Bitcoin held by crypto exchange dropped to $1.79 billion on Friday, March 23, marking its lowest in about four years. This development has injected a new wave of optimism into the cryptosphere as investors maintain their bullish stance. 

The recent major rebound in BTC price was caused by a significant withdrawal of BTC from Coinbase. This led to a supply shock, increasing its scarcity. Additionally, the movement of assets off exchanges indicates investors’ holding strategy which has become a trend since the rise of spot Bitcoin Exchange-Traded Funds (ETFs). 

Bitcoin’s Trajectory in 2025

Recall that a few days ago, Standard Chartered Bank revised its Bitcoin prediction target, raising it to $150,000 by the end of the year, up from its previous estimate between $100,000 and $120,000. The analysts clarified that for BTC to reach the 20% allocation suggested by portfolio optimization, its price would have to increase to $190,000, assuming the gold price remains constant.

The current price of Bitcoin is hovering around the $67,122.09 mark. Yet, the4 bank anticipates Bitcoin could exceed this goal if spot Bitcoin ETF inflows meet their estimated midpoint of $75 billion or if foreign exchange reserve managers start acquiring Bitcoin. Under these circumstances, analysts envision Bitcoin’s price could potentially hit $250,000 sometime in 2025.

Bitcoin Halving Event to Catalyze Price Surge

Now that Bitcoin ETFs for spot Bitcoin are live in the United States, investors are waiting for the next possibly favorable event that will boost the crypto market. A pivotal event on the horizon is the impending Bitcoin halving catalyze institutional confidence in Bitcoin’s long-term viability.

While he acknowledged the significance of Bitcoin’s traditional four-year halving cycle on supply and demand dynamics, renowned analyst Michael Van de Poppe emphasized the increasing influence of macroeconomic factors in the current market. He highlighted the significance of BTC’s fixed supply and burgeoning demand and predicted a substantial price surge in anticipation of the halving event.

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