Derivatives Demand and Supply Crunch Signal Bullish Momentum for Bitcoin

• At the same time, spot Bitcoin exchange-traded funds (ETFs) continue to see interest, with $1.9 billion flowing into these financial vehicles over the last seven days.
• From roughly 675,000 BTC at the beginning of January, Binance’s Bitcoin supply has fallen to around 618,300 BTC.

Buying pressure for Bitcoin (BTC) increased throughout Wednesday’s New York trading session, sending the price soaring beyond $79,000. A fresh analysis stated that the ongoing decline in the supply of Bitcoin on exchanges indicates a decrease in the immediate selling pressure.

According to CryptoQuant’s statistics, the demand for Bitcoin derivatives on Binance has returned, and the cumulative net taker volume of Bitcoin indicates that purchasers are coming in.

On Binance, the cumulative net taker volume hit $9.2 billion, the biggest level since February. This indicator tracks the difference between aggressive buyer and seller activity in Bitcoin futures. Amr Taha, an analyst at CryptoQuant, said in a QuickTake note on Wednesday that this indicates buyers are “stepping in aggressively and absorbing available sell-side liquidity” again.

Rapid Surge in Demand

Demand has returned to the futures markets, as this favorable regime occurred at the same time as the most recent BTC price climb over $79,000. This is further supported by the 90-day Futures Taker cumulative volume delta (CVD), which is a measure of the three-month differential between purchase and sell volume.

There has been a consistent uptick in the measure since the end of March. Abdullah Zia, an analyst at CryptoQuant, said that this continuous increase proves that aggressive market players are persistently hammering the “Ask.” At the same time, spot Bitcoin exchange-traded funds (ETFs) continue to see interest, with $1.9 billion flowing into these financial vehicles over the last seven days.

There are a number of indicators that point to the start of a bull market for Bitcoin, and one of them is the bull score index, which has reached six-month highs. The data from CryptoQuant’s exchange reserve shows that there is a tightening of supply, as the Bitcoin balance on Binance is going down.

From roughly 675,000 BTC at the beginning of January, Binance’s Bitcoin supply has fallen to around 618,300 BTC. As seen in late 2022, early 2024, and mid-2025, such low levels have traditionally denoted BTC macro bottoms.

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