According to Bitfinex's latest report, as Bitcoin recently hit a historic high of over $104,000, the market continues to maintain strong momentum. While a deeper correction is still possible in the first quarter of 2025, the general tightening of supply and the bullish sentiment among miners suggest that Bitcoin is likely to rise further in the medium term. The liquidity inventory ratio (used to track how long the existing supply can meet demand) has dropped from 41 months in October to just 6.6 months, indicating that the available liquidity of Bitcoin is tightening rapidly, especially during the strong rebounds in the first and fourth quarters of 2024.
Bitcoin miners are historically significant sellers during halving periods, but since April 2024, they have also slowed the flow of BTC to exchanges. As miners operate without realizing substantial profits and hold onto BTC instead of selling, the flow of miners to exchanges is at its lowest level in years. The overall selling pressure from miners, long-term holders, and other groups has significantly eased, and the reduction in supply entering the market has mitigated the effects of recent adjustments.

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