Crypto analyst Darkfost said known over-the-counter Bitcoin reserves held by OTC platform addresses have fallen to a record low of about 123,000 BTC, down from nearly 500,000 BTC in September 2021. According to ChainCatcher, the decline may reflect stronger long-term holding demand, a more dispersed Bitcoin ownership structure, and miners and other holders relying less on OTC channels to sell BTC.
Darkfost also said some holders may prefer to sell directly in the public market. The shrinking OTC reserve means fewer BTC are available for sale outside public exchanges, which could support Bitcoin prices if more buyers turn to spot market purchases.