- Businesses and ETFs are collectively purchasing over 3,100 Bitcoin (BTC) per day, compared to miners producing just 450 BTC daily.
- Analysts warn that continued accumulation could trigger a supply shock, strengthening Bitcoin’s long-term bullish outlook.
The Bitcoin market is entering a new phase where demand from businesses far outpaces new supply. According to Bitcoin financial services firm River, private companies, public corporations, and exchange-traded funds (ETFs) are collectively absorbing thousands of coins daily, nearly quadrupling the pace of new production.
This dynamic has led many analysts to suggest that the market could be heading toward a significant supply squeeze, one that might shift the balance of Bitcoin’s price in the months ahead. With miners adding only about 450 new BTC per day, while institutions and businesses are purchasing close to 3,200, the imbalance paints a striking picture of how deep corporate adoption has become.
Businesses are absorbing bitcoin at 4x the rate it is mined. pic.twitter.com/41N8KN6sen
— River (@River) August 27, 2025
Bitcoin Demand from Businesses and ETFs is Building Faster Than Miners Can Keep Up
River’s data shows that businesses bought 1,755 BTC per day on average in 2025, while ETFs and other investment vehicles added another 1,430 BTC per day. Governments also joined in, purchasing around 39 BTC daily. Combined, that’s more than 3,200 BTC absorbed daily, compared to the 450 BTC entering circulation through mining.
The second quarter of 2025 highlighted the intensity of this demand, with treasury companies alone acquiring 159,107 BTC. This buying spree lifted total business holdings to around 1.3 million BTC. At the forefront is Michael Saylor’s Strategy, the world’s largest known corporate holder, with a reserve of 632,457 BTC. Analysts like Adam Livingston argue that Strategy’s pace of buying has “synthetically halved” Bitcoin, replicating the scarcity effect usually seen after halving events.
Institutional Buying Signals Long-term Conviction While Investors Brace for Potential Supply Shock
While some worry that such aggressive buying could distort the market, Strategy’s corporate treasury officer, Shirish Jajodia, explained that most acquisitions occur through over-the-counter deals. This means purchases don’t significantly impact short-term price action, since they avoid draining liquidity from spot exchanges. “Bitcoin’s trading volume is over $50 billion in any 24 hours,” Jajodia noted.
I sat down with @shirishjajodia, Strategy’s Corporate Treasurer & Head of Investor Relations, for an evergreen conversation on the company's $70B+ Bitcoin treasury, the digital transformation of IR, Michael @Saylor's bold Bitcoin price predictions and much more.
Timecodes:… pic.twitter.com/SdIkAPgPPq
— Natalie Brunell ⚡️ (@natbrunell) August 19, 2025
Still, the broader picture is different. Analysts warn that if businesses and ETFs keep locking coins away, available supply on exchanges could shrink, creating conditions for a future price breakout. This sentiment is echoed across trading desks, where institutional demand is increasingly viewed as a stabilizing yet bullish force in Bitcoin markets.
Interestingly, the broader crypto market has also seen capital rotations. Just last week, on-chain data from Arkham Intelligence showed a wealthy Bitcoin holder moving more than $1 billion into Ethereum, using the Hyperliquid platform. The investor still holds over 46,800 BTC — worth more than $5 billion — underscoring the scale at which whales are shaping liquidity trends across the digital asset ecosystem.
At the time of writing, Bitcoin (BTC) was trading at $108. It is down by 0.57% in the last 24 hours.
