Bitcoin Withdrawals From Exchanges Surge 3.77 Million Since 2020

Since the beginning of 2020, there has been a significant shift in the storage of Bitcoins, indicating growing confidence in its future prospects. According to blockchain data monitored up to June 2025, approximately 3.77 million Bitcoins, equivalent to approximately $219 billion, have been withdrawn from centralized exchanges. This trend suggests that a vast number of Bitcoin owners are choosing self-custody over selling, thereby decreasing the supply on exchanges and setting up a possible bullish scenario.

The exchange flux balance figure reveals a persistent and strong outflow of Bitcoin from exchanges since February 2020. The decreasing green and increasing red spaces in the chart demonstrate the reversal from accumulation in the exchanges towards large withdrawals. This trend points towards investors’ desire to hold onto their funds rather than trading them actively, suggesting greater confidence in Bitcoin’s long-term value. Today’s decline in exchange-held Bitcoin also means fewer coins are available for sale, which can ease selling pressure. This condition often supports upward price movements, as reduced supply combined with steady or rising demand generally pushes prices higher.

As of the most recent update, Bitcoin is trading at $109,498, marking a 0.3% price increase. The current support level stands at $108,633, while resistance is noted at $110,237. These price movements remain within a narrow 24-hour range, suggesting relatively stable short-term market behavior amid the ongoing long-term accumulation trend. Historical patterns show that similar periods of sustained outflows from exchanges have preceded major bullish phases. However, analysts caution that while reduced exchange balances can be interpreted as a positive indicator, other factors such as macroeconomic trends, regulatory actions, and global liquidity must also be considered in evaluating Bitcoin’s future performance.

The self-custody movement also tracks broader tendencies within the crypto ecosystem. Over the past few years, the utilization of individual wallets, cold storage providers, and decentralized finance systems has surged. These options provide users more authority over their holdings, outside of central intermediaries, and appeal to users concerned with exchange solvency or regulatory meddling. Further, the decline in exchange balances does not equate to less activity in the market. The use of peer-to-peer trading, over-the-counter markets, and decentralized exchanges have also increased in stature, representing an alternative means of transacting that does not contribute to the metrics of centralized exchanges.

Although the decreasing amount of Bitcoin on exchanges is an undeniable indication of investor conviction and a long-term holding pattern, market participants are sensitive to externalities. However, the numbers are painting a picture of guarded optimism within the market, and the stage is set perhaps for future price power should the present trends continue.