Bitcoin Dries Up on Exchanges as Public Firms Keep Buying

According to Fidelity Digital Assets, the main reason is that public companies have been buying and storing large amounts of Bitcoin, especially after the recent US presidential election.

In an April 24 post on X, Fidelity explained that the total supply of Bitcoin on exchanges has fallen to about 2.6 million BTC, the lowest it has been since November 2018.

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Additionally, over 425,000 BTC have been removed from crypto exchanges since November 2024. When Bitcoin is moved off exchanges, it usually means the owners plan to hold it for a long time, rather than trading it in the short term.

Fidelity Digital Assets also said that public companies bought nearly 350,000 BTC during this period. One company in particular—Strategy, co-founded by Michael Saylor—was responsible for most of that.

Since November 2024, Strategy has bought 285,980 BTC, which makes up around 81% of the total Bitcoin purchased by public firms. Their latest purchase of 6,556 BTC was made public on April 21.

Fidelity Digital Assets is a branch of Fidelity Investments, which manages about $5.8 trillion in assets. The company was launched in 2018, before crypto was widely accepted by institutions.

Meanwhile, Bo Hines, head of the Presidential Council of Advisers for Digital Assets, recently outlined options for increasing the United States' Bitcoin reserves. What are they? Read the full story.