- Binance’s Bitcoin reserves dropped below 540K BTC by May 5 as Bitcoin’s price surged toward the $100K mark, reflecting tighter supply.
- New Hampshire allocated 5% of its public funds to Bitcoin, citing inflation protection, reserve diversification, and blockchain oversight.
- Bitcoin gained over $2,600 in one day as 24-hour trading volume surged past $54.8 billion, signaling renewed buy-side pressure and momentum.
Bitcoin’s price approached $100,000 following a consistent decline in exchange reserves on Binance. The latest data, tracked from November 4 to May 5, shows an inverse trend between price and reserves. When Binance reserves fell, Bitcoin prices often rose or remained steady.
On November 4, Binance held 544.6K BTC while Bitcoin traded around $65,000. The reserve rose to over 620K BTC mid-November with prices hovering between $65K and $ 70 K. By December, reserves began to decline, and prices surged toward $110,000.
In a post by Coinvo, they stated: “The Bitcoin exchange reserves are falling off a cliff and we all know what comes next.” The comment followed a visible acceleration in Bitcoin withdrawals, hinting at lower selling pressure. As reserves dropped, a price rally took shape, gaining strength through April.
By January, reserves fell below 590K BTC, while Bitcoin hovered near $105,000. This pattern continued through February and March as prices remained volatile between $90K and $ 105 K. April saw further declines in reserves, hitting a low of 550K BTC by April 28.
State-Level Bitcoin Adoption Boosts Confidence
On the policy front, New Hampshire made a strategic move into Bitcoin. The state allocated 5% of its public reserve funds to digital assets as part of its fiscal strategy. The move aims to hedge inflation and modernize how state reserves are managed.
The plan includes storing assets in multi-signature cold wallets with oversight by private and government custodians. Objectives include reserve diversification and blockchain-driven transparency in public finance. Bitcoin’s profile as a sovereign asset continues to grow.
During the first week of May, Binance reserves dropped from 544.6K BTC to just under 540K BTC. Despite this, Bitcoin’s price held firm at $94.3K, reinforcing the supply-tightening thesis. This provided a strong base for the ongoing rally.
Price Momentum Grows with Trading Volume Spike
CoinMarketCap data shows Bitcoin traded at $99,627.36 with a 2.32% price increase in 24 hours. Trading volume surged by 60.71%, reaching $54.82 billion, supporting the strong bullish trend. The volume-to-market-cap ratio stood at 2.75%, reflecting high liquidity.
The market capitalization rose to $1.97 trillion with a fully diluted value of $2.09 trillion. Bitcoin’s circulating supply remains at 19.86 million BTC, nearing its maximum of 21 million. Price action confirmed a strong technical structure in the $99K zone.
Bitcoin rose over $2,600 in a single day, powered by rising volume and reduced reserves. Bullish candles dominated early May as buy-side pressure gained momentum. The setup shows tight supply and rising investor confidence near $ 100 K.