How can all possible numbers in 256-bit space be squeezed into 160-bit space?

How can all possible numbers in 256-bit space be squeezed into 160-bit space?

Bitcoin addresses are essentially 160-bit hashes of a 256-bit public key. Huh? How can all possible numbers in 256-bit space be squeezed into 160-bit space? Does that mean any given bitcoin address could be derived from more than just one public key?

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