Bitcoin Hits $125K as Exchange Balances Drop to Six-Year Low
Bitcoin surged to a brand new all-time high above $125,700 on Sunday morning, breaking previous its earlier report of $124,500 set in August, in accordance to knowledge from CoinMarketCap.
Key Takeaways:
- Bitcoin hit a brand new all-time high above $125,700 as “Uptober” momentum kicked in.
- Exchange balances fell to multi‑yr lows, with over 114,000 BTC leaving platforms in two weeks.
- Tightening provide and OTC desk chatter level to potential spot shortages if worth fails to cool.
The milestone comes as centralized exchanges report the bottom ranges of Bitcoin reserves in six years, signaling a tightening provide backdrop amid rising investor demand.
Bitcoin Kicks Off ‘Uptober’ With Sharp Rebound From September Lows
The sharp restoration marks a robust begin to October, typically dubbed “Uptober” by merchants, after Bitcoin slipped to $107,800 in early September.
Over the previous week, the asset has climbed steadily, buoyed by renewed optimism and tightening trade liquidity.
“Bitcoin hits new all-time high … And most individuals nonetheless don’t even know what Bitcoin is,” stated Nate Geraci, president of ETF Store and Nova Dius.
Glassnode data shows the total Bitcoin held on exchanges dropped to 2.83 million BTC on Saturday, the bottom degree since June 2019, when Bitcoin traded round $8,000 throughout a bear market.
CryptoQuant posted a barely decrease reserve determine of two.45 million BTC, putting it at a seven-year low. More than 114,000 BTC, valued over $14 billion, has exited exchanges in simply two weeks.
This mass outflow suggests a shift towards long-term holding, with Bitcoin transferring into self-custody, institutional wallets, or digital asset treasuries.
Coins held on exchanges are thought-about “accessible provide,” extra probably to be bought. As reserves dry up, upward worth strain builds.
“Hearing exchanges are out of Bitcoin,” tweeted Matthew Sigel, head of digital property analysis at VanEck.
“Monday 9:30 am is perhaps the primary official scarcity,” he added, cautioning that this wasn’t monetary recommendation—however suggesting it is perhaps time to act.
Investor Mike Alfred echoed the sentiment, revealing a name with a serious OTC desk operator who stated they may run out of Bitcoin inside hours of futures markets opening, except the value breaks above $126,000. “Things getting wild,” Alfred stated.
Strategy Inc.’s Bitcoin Holdings Hit $77.4B as Treasury Bet Pays Off
As reported, Bitcoin’s surge past $124,000 has driven Strategy Inc.’s BTC holdings to a report $77.4 billion, the corporate revealed Friday.
The agency, which started accumulating BTC in 2020 as a company treasury asset, has seen its holdings develop exponentially from an preliminary valuation of $2.1 billion to over 35 instances that quantity in simply 5 years.
Strategy weathered the volatility of crypto markets with continued purchases throughout downturns, pushing its place to $8 billion in 2023 and greater than doubling that to $41.8 billion by 2024.
The 2025 rally has now pushed it to unprecedented ranges, reinforcing the agency’s conviction that Bitcoin is a long-term hedge in opposition to fiat depreciation.
In an additional enhance, Strategy confirmed it won’t face billions in taxes on unrealized crypto positive factors after up to date IRS steering clarified that such positive factors are excluded from the Corporate Alternative Minimum Tax.
With round $28 billion in unrealized revenue, the tax exemption cements Strategy’s place as the main instance of company Bitcoin accumulation.
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