Bitcoin News Today: Institutional Bitcoin Demand Surpasses Mining Output Driving Supply Shortage

Bitcoin is experiencing a potential historic surge driven by unprecedented institutional demand, according to recent data indicating a widening gap between supply and demand. Institutional purchases in 2025 have far exceeded the amount of new Bitcoin being mined, signaling growing institutional confidence and intensifying upward pressure on the price [1].

Bitwise Europe’s Head of Research, Andre Dragosch, reported that institutions bought 913,016 BTC in 2024, compared to just 217,771 BTC produced by miners after the halving event. By 2025, the trend has only accelerated, with institutions acquiring 545,579 BTC so far this year, while miners have generated only 97,082 BTC [1]. This stark imbalance suggests a tightening supply environment and could be a key driver behind Bitcoin’s rising price.

Bitcoin Treasuries data further illustrates the growing institutional presence. Institutional holdings have surged from 2,252,936 BTC at the end of 2024 to significantly higher levels in 2025. Private companies increased their Bitcoin reserves from 271,735 BTC to 292,375 BTC, while public companies expanded from 694,147 BTC to 1,054,463 BTC. ETFs and other funds also saw a notable increase, growing from 1,287,054 BTC to 1,468,330 BTC in 2025 [1].

The trend is not limited to established players. Several major corporations have made their first Bitcoin purchases in 2025, including GameStop, Belgravia Hartford, and Rumble. In July alone, Abraxas Capital and Volcon Inc. added over $750 million in Bitcoin to their portfolios. These developments indicate a broadening institutional interest and further reduce available supply [1].

Dragosch also projected potential Bitcoin price targets for 2035, estimating levels of $1.3 million, $7.2 million, or $13.7 million, depending on valuation assumptions. These projections, while speculative, highlight the potential long-term upside driven by continued institutional accumulation and supply constraints [1].

As demand continues to outpace production, the market is closely watching how these dynamics evolve. The growing institutional appetite for Bitcoin appears to be reshaping the market, with long-term implications for price and adoption.

Source:

[1] Blockonomi – Is This the Start of Bitcoin Price Biggest Run Yet? Data Suggests So – https://blockonomi.com/is-this-the-start-of-bitcoin-price-biggest-run-yet-data-suggests-so/