@helianthine
How do exchange reserve levels affect Bitcoin’s price outlook?
Exchange reserves show how much Bitcoin is held on trading platforms. Declining reserves suggest accumulation and long-term holding, which reduces selling pressure and supports price increases. Rising reserves imply more BTC is available to sell, possibly leading to short-term drops. Monitoring this data helps gauge market supply dynamics. Combined with other metrics like inflows, it paints a clearer picture of investor behavior. Lower reserves often indicate a bullish outlook as holders move BTC off exchanges for safekeeping.