Nearly $10 billion worth of Bitcoin has been withdrawn from cryptocurrency exchanges following the launch of spot exchange-traded funds (ETFs) in the United States. The data from Glassnode indicates that exchanges have seen a reduction of over 136,000 BTC since January 11.

The trend of BTC withdrawals from exchanges does not show any signs of slowing down. Coinbase, a major trading platform, held 2,320,458 BTC as of March 28, the lowest balance recorded since April 2018. On March 27 alone, withdrawals amounted to more than 22,000 BTC ($1.54 billion), marking the third-largest daily withdrawal in 2024.

Market analysis reveals a significant transfer of stablecoin USD Coin (USDC) to Coinbase, the largest U.S. crypto exchange. This transfer has been noted as the largest inbound transfer in history.

There is growing optimism around Bitcoin halving as a result of the impact of ETFs on available BTC supply and price. Market observers predict a potential supply squeeze due to demand outpacing the BTC available for sale.

After the upcoming block subsidy halving event in mid-April, the ratio of ETF buying force to newly mined BTC will increase further. Charles Edwards, founder of Capriole Investments, highlighted the forthcoming Bitcoin Halving event as a significant milestone.