Bitcoin Supply Shock Looms as Exchange Reserves Plummet, Warns Early Adopter

Bitcoin could soon face a major supply shock, warns early BTC adopter and YouTuber Jeremie Davinci. In a recent viral tweet, Davinci shared a CryptoQuant chart showing a sharp drop in BTC held on crypto exchanges, now down to approximately 2.4 million coins. “No Bitcoin left on exchanges,” Davinci wrote, adding that miners aren’t selling either — fueling fears that buying BTC may become increasingly difficult.

While the chart doesn't indicate a total depletion of Bitcoin on trading platforms, the steep decline underscores growing accumulation trends across the market. The trend echoes a warning first issued by JAN3 CEO Samson Mow in January 2024. At the time, Mow predicted a dual Bitcoin shock — demand and supply — triggered by the approval of spot Bitcoin ETFs by the SEC under Gary Gensler and the subsequent aggressive BTC purchases by institutional players like BlackRock’s IBIT.

Following the April 2024 Bitcoin halving and increased ETF accumulation, Mow suggested BTC could skyrocket to $1 million due to these converging shocks. However, what actually drove Bitcoin to all-time highs — including the $109,100 peak on January 20, 2025 — was Donald Trump’s surprise return to the White House.

Meanwhile, demand continues to grow. BlackRock’s IBIT has now recorded 20 straight days of inflows, totaling $5 billion, as noted by ETF Store President Nate Geraci. These consistent inflows refute bearish claims of waning Bitcoin demand and reinforce the narrative of tightening supply.

With BTC reserves on exchanges shrinking and institutional accumulation showing no signs of slowing down, the crypto community is bracing for a potential Bitcoin supply shock — one that could have significant implications for BTC’s price trajectory.