Bitcoin's supply is shrinking as institutional demand increases, leading to a positive price trend.
Exchange balances for Bitcoin have dropped by one million BTC in the last 18 months, indicating a shift towards long-term holding behavior.
Institutional adoption and government interest, including US states, Pakistan, UK party Reform UK, and China, signal a growing role for Bitcoin in reserves.
Potential demand shocks and increased institutional interest may further drive Bitcoin's mainstream adoption and price surge.