Bitcoin Exchange Supply Drops to 6.5% as 24,000 BTC Are Yanked to Cold Storage

Investors withdrew 24,073 Bitcoin on a net basis from centralized exchanges on Monday, driving total exchange-held supply down to just 6.50%. Mid-size inflows to Binance declined over 36% from mid-August to October 7, while Coinbase Prime recorded a 15% drop in the same metric. The asset has climbed over 33% since mid-August, crossing the $84,000 mark despite the drastic reduction in exchange deposits. US spot Bitcoin ETFs reversed a nearly $90 million Monday outflow with $119 million in net Tuesday inflows, largely driven by $122 million in fresh capital entering BlackRock's IBIT. “Persistent withdrawals can signal investors shifting BTC toward longer-term custody rather than preparing to sell. Outflows alone guarantee nothing, but falling exchange supply strengthens the bullish setup.” — Santiment