Yep, less selling pressure is one of the reasons we can consider why Bitcoin balances for some exchanges are slowly going down.
We can also consider that whales are somehow manipulating the inflows/outflows of exchanges, so onchain analysis for exchange inflows/outflows will change, but this is for the bitter scenario for being a Bitcoin bullish 

This is already proven from previous bitcoin bull run, exchange inflows slowly going down and exchange outflows is increasing for exchanges, a very bullish scenario for Bitcoin.