The world of bitcoin is no longer just for hobbyist miners and retail traders. Big companies and institutional investors are gobbling up coins at a pace that could drastically reshape the market.
As these entities hoard more bitcoin than is being created, experts warn that liquidity is slipping into the hands of a few powerful players—and that could have major consequences for price and volatility.
Institutions Are Buying Faster Than Miners
Data from River shows that publicly traded bitcoin treasury firms and private companies are scooping up roughly 1,755 BTC per day in 2025.
On top of that, exchange-traded funds and other investment vehicles are adding about 1,430 BTC daily.
By comparison, miners are producing only around 450 BTC each day.
This means businesses are absorbing bitcoin at roughly four times the rate it’s being mined—a trend that has analysts sounding the alarm about a potential supply crunch.
A Possible Supply Shock
When demand significantly outpaces supply, markets start to behave differently.
With exchange reserves falling and institutions holding onto large positions, some experts see a possible bullish trigger for prices.
Others caution that thin liquidity on exchanges could make bitcoin more volatile if those flows suddenly reverse.
Who’s Behind the Buying
Reports reveal that bitcoin treasury companies alone purchased 159,100 BTC in the second quarter of 2025.
Collectively, businesses now hold over 1 million BTC, with Strategy, led by Michael Saylor, standing out as the single largest corporate holder at 632,457 BTC.
Strategy’s aggressive accumulation has sparked a conversation among analysts, who suggest the company is “synthetically” halving bitcoin—removing coins from circulation in a way that mimics the scarcity effects of a halving event.
How “Synthetic” Hoarding Works
Adam Livingston, author of The Bitcoin Age and The Great Harvest, explained that when a major company locks up coins for the long term, it reduces the supply available to traders and investors.
While not an actual halving on the blockchain, the effect on market availability can be similar, potentially driving prices higher over time.
Smart Buying to Avoid Market Disruption
Strategy’s corporate treasury officer, Shirish Jajodia, has emphasized that their purchasing strategy is carefully managed.
Most acquisitions occur over-the-counter (OTC), away from exchange order books, to prevent sudden price swings.
Even so, the rapid accumulation of over 3,000 BTC per day by businesses—compared to 450 BTC mined—suggests a supply squeeze could still be looming.
Implications for Bitcoin Traders
With more than 1 million BTC now held by corporations and exchange reserves thinning, market watchers warn of sharper price swings in the future.
While OTC buying may soften immediate impacts, the overall scarcity effect could have long-term consequences for investors and traders alike.
Currently, bitcoin trades around $109,173, but with liquidity increasingly concentrated in a few hands, volatility may remain a defining feature of the market in the months to come.
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