Bitcoin Exchange Balances Surge to Highest Level Since June 15

BTC exchange balances rebounded to 1.332M coins, reversing the prior supply crunch. This suggests ETF inflows may be sourced from OTC desks rather than exchange withdrawals.

Woofun AI data shows that Bitcoin exchange balances have climbed to their highest point since June 15, effectively resolving the supply constraints previously linked to ETF inflows. Exchange BTC holdings fell from 1.337 million coins on June 12 to 1.304 million by July 28, marking an outflow of 33,000 coins. The trend subsequently reversed, with balances recovering to 1.332 million coins by August 16 as 28,000 coins flowed back in, offsetting 84% of the earlier decline. Santiment observes that this replenishment aligns with strong ETF demand, as purchases may originate from OTC desks or existing holders without triggering withdrawals from visible exchange wallets.