In a notable trend, Bitcoin reserves on Coinbase have been on a sharp decline since February 2024. The main catalyst behind this decrease is attributed to the rising demand for Spot ETFs. On February 18, 2024, Coinbase held 1,044,997 Bitcoins in reserve. However, this number has since dwindled to 878K, a significant reduction.

The introduction of Spot ETFs has evidently impacted Coinbase's reserves, demonstrating the shifting dynamics in the crypto market. This trend is expected to continue, especially considering the potential interest rate cut in September 2024.

The declining reserves on Coinbase, coupled with the potential interest rate cut, could lead to interesting developments in the crypto market. It is a testament to the evolving nature of the blockchain industry and the increasing demand for diversified crypto investment products. Optimistically, these changes could foster a more robust and dynamic crypto market.

Written by burakkesmeci.