Bitcoin reserves on exchanges have plummeted to 2.5 million BTC, the lowest since 2022, potentially indicating a supply shock fueled by rising institutional demand from ETFs. The decrease in available Bitcoin on exchanges often correlates with increased price pressure, as robust buying interest meets dwindling supply. Recently, Bitcoin's price increased by 0.4%, trading above $97,000, despite some investor concerns due to new import tariffs imposed by the US and China. Analysts suggest that Bitcoin's ability to maintain its value above the $95,000 mark indicates strong institutional interest and seller exhaustion. However, a significant decline below this psychological level could trigger liquidations of leveraged positions worth over $1.52 billion across exchanges. Additionally, a slowdown in Bitcoin ETF inflows may continue to challenge price stability. Overall, while short-term fluctuations are expected, the long-term outlook for Bitcoin remains optimistic for 2025.

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