The number of Bitcoins on exchanges has been falling continuously since February 2020
This could mean several things:
1. Growing popularity of long-term storage - investors prefer to store Bitcoin in personal wallets rather than on exchanges, which indicates confidence in the cryptocurrency as an asset.
2. Reducing selling pressure - if there are fewer BTCs on exchanges, then fewer coins are available for sale, which can reduce downward pressure on the price.
3. Growing institutional interest - large investors and companies often withdraw BTC from exchanges to store it in cold wallets.
4. Preparing for a shortage before the halving - if the number of Bitcoins on exchanges decreases and demand increases, this can lead to an increase in the price.
In general, a decrease in BTC stocks on exchanges is often seen as a bullish signal (a sign of a possible price increase).
