Yesterday, Bitcoin set a new historical peak at 124,474 USD on Binance before correcting to around 118,000 USD. However, alongside the price breakout, another notable development occurred: BTC reserves on Binance are increasing again after a long period of decline, raising concerns among analysts about the potential for a short-term correction.

BTC Reserves Reverse Increase – Signals to Watch

According to the Quicktake report from CryptoQuant shared by Arab Chain, the BTC reserves on Binance have surged since the end of July 2025, ending a previous continuous decline.

  • Currently, Binance holds about 579,000 BTC, the highest in recent months.

  • Previously, from the peak in 2024 to the bottom in July 2025, the amount of BTC on exchanges decreased by 50,000 – 60,000 BTC (equivalent to 9% – 10%).

  • However, in a short time, BTC reserves have increased again by 25,000 – 30,000 BTC (5% – 6%).

Nevertheless, this reserve level is still significantly lower than the peak at the end of 2024, indicating that the long-term supply scarcity has not completely disappeared.

Reasons for the Increase in BTC Reserves on Binance

Arab Chain points out two main possibilities:

  1. Profit-taking activities and short-term supply increase

    • Traders, including whales and market makers, may have transferred BTC to exchanges to sell part of their assets or use it as collateral in derivative trading.

  2. Enhancing market liquidity

    • When buying demand increases, market makers may add BTC to the liquidity pool and rebalance their portfolios to keep price spreads stable.

According to Arab Chain, if the reserve of BTC continues to increase significantly daily or weekly along with a high positive funding rate and rising open interest, the likelihood of short-term corrections will be higher. Conversely, if reserves stabilize or decrease quickly, it will reflect a return to scarcity in supply and the upward trend may continue.

Bitcoin Adjusts After ATH – Is the Uptrend Slowing Down?

Currently, BTC has dropped from a peak of 124,474 USD to 118,464 USD (down 0.8% in 24 hours), indicating a slight correction. Some indicators suggest that selling pressure is increasing:

  • The whale inflow rate to Binance is increasing.

  • The amount of BTC distributed from miners to Binance has also increased significantly.

However, there are still optimistic views. Expert Axel Adler believes that the current market structure is unlikely to experience a sharp decline, and the recent price volatility is merely a necessary correction phase before the market continues its upward trend.

Conclusion

  • Short-term signals: BTC reserves on Binance are increasing, selling pressure from whales and miners is rising → the possibility of a short-term correction.

  • Long-term outlook:The supply of BTC on exchanges is still much lower than the peak in 2024, indicating that structural scarcity still exists, supporting the long-term uptrend.

Investors should closely monitor the developments in BTC reserves, funding rates, and open interest to assess the likelihood of the continuation of the uptrend or the risk of a strong correction.