Coinbase, the third-largest crypto exchange globally, saw a major Bitcoin exodus on May 9, marking the largest single-day outflow of BTC for 2025 so far.
According to André Dragosch, head of European research at Bitwise, a total of 9,739 BTC—valued at more than $1 billion—left the platform on that day alone. He highlighted this as a clear signal of growing interest from institutional players, commenting via a May 13 post on X:
“Institutional appetite for bitcoin is accelerating.”
The withdrawal took place while Bitcoin was trading around $103,600 and shortly after the White House declared a 90-day easing of reciprocal tariffs with China. The move helped calm market jitters and boosted investor sentiment across both crypto and traditional financial markets.
Nansen’s lead research analyst, Aurelie Barthere, explained that pausing the tariff hikes reduces the risk of renewed trade tensions, which in turn supports a more risk-friendly market environment. This may encourage further rallies in Bitcoin, altcoins, and equities.
Tightening Bitcoin Supply May Drive Prices Higher
As large entities and corporations continue accumulating Bitcoin, the amount of BTC available on exchanges is shrinking. This trend hints at a potential “supply shock” — where surging demand meets a declining supply, often resulting in upward price pressure.
Despite possible short-term dips, Dragosch maintains a bullish stance on Bitcoin’s performance through the rest of the year. Speaking on the Chain Reaction daily show on May 12, he noted:
“Corporates have acquired roughly four times the Bitcoin compared to all U.S. spot ETFs combined in 2025. That’s massive. We’re nearing 200,000 BTC—equivalent to an entire year of newly mined supply.”
At the same time, data from Glassnode shows that Bitcoin’s “illiquid supply” — coins held in wallets with little to no selling history — has hit an all-time high of 14 million BTC. This supports the view that long-term holders and large investors are stacking up their positions, reducing sell-side pressure even further.
Still, Dragosch cautioned that overly bullish market sentiment could lead to short-term volatility, even as the overall outlook remains positive.
