The amount of bitcoin sitting on exchange wallets has dropped to its lowest point in years, a trend on-chain analysts have been tracking closely as a read on supply available for immediate sale. When coins move off exchanges, it typically means holders are shifting them into self-custody, cold storage, or longer-term custodial products rather than keeping them positioned for a quick trade, and a sustained decline in exchange balances has historically coincided with periods where sellers are harder to find at any given price level.