Is Bitcoin’s scarcity narrative losing steam? Bit

Is Bitcoin’s scarcity narrative losing steam?

Bitcoin’s stock-to-flow ratio has fallen by 33%, now standing at 1.06 million—a clear signal that the perceived scarcity of BTC is weakening. 

The drop reflects changes in circulating supply relative to issuance, and could reduce confidence among long-term holders who rely on the scarcity thesis

While upcoming halving events may restore the narrative, the current dip undercuts one of Bitcoin’s most widely cited valuation models. 

This shift may partially explain the hesitation seen in both whales and retail investors, as fewer fundamental catalysts remain in play short term.