[DigitalToday Seung-a Yoo] An analysis said bitcoin (BTC) prices could rise further as exchange holdings decline.

Bitcoin Magazine reported on Oct. 13 (local time) that an on-chain researcher at Ray Researcher data firm CryptoQuant said in a Monday report that exchange-held bitcoin fell to 2.67 million from 2.8 million since February.

When exchange holdings fall, the amount immediately available for trading also declines. The explanation said that if exchange supply stays low while buying demand improves, a supply-demand imbalance could develop, creating conditions favorable to a long-term uptrend.

Ray Researcher said exchange reserves kept falling in recent weeks even as bitcoin prices recovered from lows. It pointed to a decline in the amount available for trading as the market recovers. It also raised the possibility that some investors are moving bitcoin off exchanges and storing it in offline options such as cold wallets.

Bitcoin recently traded at $83,485. Price moves over 24 hours were little changed, but it rose 8 percent over the past 30 days. After posting its best quarter in years, gains in August and September continued, leading some analysts to say the bear market has ended.

Bitcoin stayed weak for much of this year after hitting a record high of $126,080 in October 2025. In the first half of 2026, it mostly traded below $65,000. Market sentiment shifted in August after news emerged that the U.S. Treasury would double the scale of its buyback operations to provide liquidity support. The dollar weakened, while non-yielding assets including bitcoin strengthened.

So-called "value dilution hedge trades" - buying assets to guard against declines in currency value - are also drawing attention again. Analysts say bitcoin is benefiting from such trades again this time, following 2024 and 2025.

Still, bitcoin is more than 30 percent below its record high. It remains to be seen whether the decline in exchange holdings, combined with a real rise in buying demand, will lead to sustained gains.