say BTC rises from $30,000 to $300,000. two scenarios:

1. 10% of all BTC holders want to cash out. nobody lost their keys, so 2M BTC hit the “supply side” of the market.

2. 10% of all BTC holders want to cash out. half of them lost their keys, so only 1M BTC hit the supply side of the market.

this is the way it makes a difference. in the latter scenario, BTC spot price would likely reach a higher value.