Supply of Bitcoin, the largest cryptocurrency by market cap, dropped 4%, nearing the level of December 2022, itself the lowest since November 2020—and right before the start of the 2021 bull market, Goldman Sachs said in a report Tuesday. June saw a decrease in the supply of Bitcoin (BTC) and Ether (ETH) on exchanges, as investors preferred self-custody due to increased regulation and cybercrime. This trend was driven by a number of factors, according to Goldman Sachs. These included regulatory headwinds, cyber hacks and theft, and the enablement of staked Ether withdrawals. The bank also noted that June was a record month for Bitcoin miners’ inventory sales, as miners took advantage of the cryptocurrency’s strong performance. Additionally, transaction fees returned to normal in June, and address activity for both Bitcoin and Ether saw a rebound. New on-chain activity also increased last month, with the daily average new address count for Bitcoin and Ether increasing by 9.8% and 48.2% respectively.
Supply of Bitcoin and Ether on Exchanges Drops in June
