Bitcoin Supply Shrinks: Trump’s Reserve Plan & Institutional Demand Set Stage for 2025 Boom!
KEY POINTS:-
- Bitcoin total mined coins have touched almost 20 million mark.
- U.S. President’s plan for a strategic Bitcoin reserve.
- Whales and institutions have different opinions about Bitcoin selling.
- According to experts Bitcoin to Touch its all-time high price in February 2025.
Bitcoin mine has crossed the milestone of 19.96 million mark, almost 95 percent of total Bitcoin existence has been issued. In the Market Bitcoin, the largest cryptocurrency could soon face a shortage during the quick withdrawal of BTC from exchanges.
Donald Trump US President plans for Bitcoin’s strategic and institutional adoption and Layer 2 rollout.
Layer 2 rollout refers to a process of building and implementing technologies on top of a blockchain’s primary layer. L2 solutions are designed to make blockchains more efficient and usable.
According to Santiment data Bitcoin’s supply on centralised exchanges decreased by nearly 15 percent since the US Presidential election result in 2024. At the same time, Bitcoin’s supply outside of exchange has climbed from 17.99 million to 18.3 million. Bitcoin supply decreased on exchanges and out exchanges Bitcoin’s supply increased all of these indicate an increase in the price of Bitcoin. Decrease in supply pressure to price go Higher.
Matthew Sigel, Head of digital assets research at asset management giant VanEck. We analyzed 20 state-level Bitcoin reserve bills. If they were enacted, they could drive 23 Billion dollars in buying, which could be equivalent to 247,000 BTC in demand from institutional investors.
The sum ascertained by Sigel is independent of pension fund allocations, likely to rise if legislators move forward.
According to data provided by Bitbo.io shows that 1.039 Million BTC are left for mining. 95 percent of the minded Bitcoin are either in wallets outside exchanges or in circulation. Demand from institutional investors could raise the price of Bitcoin in 2025. U.S. President Donald Trump’s plan for Bitcoin reserve is considered a game changer in 2025. Reserved assets can be used in a crisis.
According to a Financial Times report published on February 12, the government has previously sold its BTC holdings, however, the possibility of discussion on Bitcoin reserve in Trump’s administration is much less. The finite supply of Bitcoin has garnered advocates who believe that “scarcity adds value”
Kevin Liu, founder and CEO of GOAT Network discussed technological advancements on the Bitcoin blockchain.
Liu said:- It only makes sense to offer numerous ways for that growing number of users to engage (with Bitcoin). Most Bitcoin Layer 2 networks rely on Bitcoin to fuel their economies, whereas most Ethereum Layer 2 lean on Ether. Different options for different users.
I do think Bitcoin L2s are well positioned, because Bitcoin is the undisputed king of cryptocurrencies, by market cap, mindshare, and pretty much any other major metric. Since Bitcoin L2s are such a new concept, there’s also a lot more room for growth and novel use cases than the more mature Ethereum L2 and alt-L1 markets.”
