Bitcoin has a hard cap of 21 million coins, which is built into its code. Theoretically, this limit could be changed through a hard fork, but it is highly unlikely due to strong community opposition and the loss of trust it would cause.
Bitfinex reports that retail demand for Bitcoin is outpacing supply, supporting a bullish trend in the market. Retail investors are accumulating Bitcoin faster than miners can produce it, boosting its price.
Peter Schiff has renewed his criticism of Bitcoin, arguing that the 21 million supply is arbitrary. The criticism comes as Bitcoin reached a new all-time high of <a href="https://vertexaisearch.cloud.google.com/grounding-api-redirect/AUZIYQFmHqlg9_EJmG4je0M5ukJfwkxKnHYyJqwXKo-bOIzPsFf-unYaVvVeAoQv5a41_2ghzQ0FLJpeSH1MkfpMrVjD0SyDUp7Hb6GRGS82NKQZ7MwAEBmZdeqkzWeVrzceInywb0viV7SRqujSfqkcOXDXIqEFmxEjhDR580MvyQKp1Wg2s-GWfGaNfEQFIBOf-27eukma">$118,000</a>, sparking discussions about its value.
Bitcoin supply is shrinking, with analysts warning of a potential supply shock. Michael Saylor's aggressive Bitcoin accumulation and increasing institutional demand are intensifying the pressure, leading to speculation about significant price movements.
Bitcoin's active supply has dropped by 17%, indicating a slowdown in on-chain activity. This decrease, similar to one observed in September 2024, has historically preceded a bullish rally. Bitcoin's price remains stable above $100,000, suggesting a market in transition.
Bitcoin supply on crypto exchanges has dropped below 15%, signaling a potential supply problem. Depleting exchange reserves and OTC balances suggest long-term accumulation and a potential price rally.
Bitcoin exchange flows have hit a 10-year low, suggesting potential consolidation or a supply shock. Data from CryptoQuant shows the average volume of flows on centralized exchanges has decreased significantly, marking the lowest figure in the past ten years. This decrease may lead to a significant market movement.
BlackRock's iShares Bitcoin Trust (IBIT) has accumulated over 3.25% of the total Bitcoin supply, with assets under management nearing $70 billion. This milestone highlights the accelerating institutional adoption of Bitcoin as a mainstream investment asset and solidifies IBIT's dominant market position.
