Bitcoin exchange reserves have fallen to 2.4 million BTC, marking the lowest level in over a decade. This significant decline suggests reduced sell pressure and ongoing accumulation by long-term holders. Currently, over 90% of the Bitcoin supply is in profit, highlighting the cryptocurrency's structural strength. Analysts attribute the recent market correction to leverage-driven factors rather than widespread capitulation, with $19 billion in open interest being liquidated. The tightening supply conditions could potentially pave the way for Bitcoin to revisit its all-time high of $126,000.