Bitcoin Supply on Exchanges Is Falling ‘Due to Public Company Purchases’ — Fidelity

Bitcoin reserves on cryptocurrency exchanges have plummeted to their lowest level in over six years, dropping to just 2.6 million BTC—the least since November 2018—according to a recent report by Fidelity Digital Assets. This significant decline, with over 425,000 BTC moving off exchanges since November 2024, is largely driven by publicly traded companies ramping up their Bitcoin accumulation following the US presidential election.

Fidelity notes, “We have seen Bitcoin supply on exchanges dropping due to public company purchases—something we anticipate accelerating in the near future.” As Bitcoin’s price hovers around $94,770, this trend signals a shift toward long-term investment rather than short-term trading, and platforms like Coinbase are making it easier than ever to join the movement.

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Why Is Bitcoin Supply on Exchanges Dropping?

The decline in Bitcoin reserves on exchanges reflects growing institutional interest, particularly from publicly traded companies. Since November 2024, these firms have acquired nearly 350,000 BTC, with Strategy—a business intelligence firm turned Bitcoin bank co-founded by Michael Saylor—leading the charge. Strategy alone has purchased 285,980 BTC, accounting for 81% of the total corporate acquisitions during this period.

Their latest purchase of 6,556 BTC was disclosed on April 21, 2025, showcasing their aggressive Bitcoin treasury strategy. Meanwhile, Asian companies like Japan’s Metaplanet (holding 5,000 BTC with plans to double that amount in 2025) and Hong Kong’s HK Asia Holdings (raising $8.35 million to boost its Bitcoin reserves) are also adopting similar strategies, further reducing exchange supply.

What Does This Mean for Crypto Investors?

A shrinking Bitcoin supply on exchanges often indicates a bullish sentiment, as it suggests investors are moving their BTC into cold storage for long-term holding rather than trading. Fidelity Digital Assets, a subsidiary of the $5.8 trillion asset manager Fidelity Investments, highlights that this trend could intensify as more corporations view Bitcoin as a strategic reserve asset.

Fidelity, which launched its Digital Assets division in 2018 and manages the Fidelity Wise Origin Bitcoin Fund (one of the first 11 spot Bitcoin ETFs approved in the US), sees this as a sign of Bitcoin’s growing acceptance as an institutional asset class. For individual investors, this presents an opportunity to get in on the action before supply tightens further—join Coinbase now to start buying Bitcoin and claim your $50 USDC bonus!

How to Buy Bitcoin on Coinbase Amid This Trend

With Bitcoin’s exchange supply dwindling, now is a great time to invest, and Coinbase makes the process simple for beginners and seasoned traders alike. Here’s how to get started:

1. Create a Coinbase Account: Sign up on Coinbase or download the app. You’ll need a valid ID and possibly proof of address for verification.
2. Add a Payment Method: Link a bank account, debit card, or wire transfer to fund your account.
3. Buy Bitcoin: Navigate to the “Buy & Sell” section on Coinbase’s website or tap “Buy” on the app, search for Bitcoin (BTC), enter the amount you want to purchase, and confirm your transaction.

Don’t wait for Bitcoin’s supply to drop further—get started on Coinbase today and secure your share of BTC while earning up to $50 USDC free!

New to crypto? Explore our complete 2025 guide on using Coinbase — learn how to buy, trade, and convert crypto with ease.

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