Bullish?  Only 16% ETH is Currently Sitting on Exchanges
AA News Crypto News ETHBTC Ethereum Ethereum (ETH) Price ETHUSD Social

Bullish? Only 16% ETH is Currently Sitting on Exchanges

The overall demand for ETH continues to increase with new in-chains data suggesting the total supply of exchanges has declined by nearly one third so far last year. As such, less than 20% of all ETH in existence is now sitting on the trading platform.

Investors Withdraw ETH Tokens

It is safe to say that Ethereum is arguably the most useful network block in the cryptocurrency space. After all, it is the home of a number of projects from the two hottest trends in the past year – non-functional standards and decentralized finance.

Recognizing the potential protocol, investors began praising their cryptocurrency a while back and began to invest substantial amounts of money into it. Some more noteworthy names, including those outside the community that have openly acknowledged the divisions in the second-largest crypto-market, include Mark Cuban and Robert Kiyosaki.

On-chain data analytics company Santiment suggests that most Ethereum investors seem to be bubbling as the number of ETH tokens that sit on the exchanges has gone down dramatically in the past year.

Back on September 26, 2020, the amount of ETH higher on the trading platform stood at 24.1%. Fast forward a year, and the percentage has decreased by nearly a third to 16.1%. Accordingly, an analytical firm concludes that “this is a good sign for the patient”.

ETH Supply of barter  ETH Price.  Source: Santiment
ETH Supply of barter ETH Price. Source: Santiment

ETH’s Price Rise in Year

Decreasing the amount of ETH held on exchanges essentially means that it will not be in a rush to sell its coins, which can be considered as a token bull. Looking at what has happened to its USD value in the same time frame in which the supply of dropped exchanges is per se is very important.

On September 26 last year, ETH traded around $350. He developed into a full bull runner in the following months and more than doubled his value by the end of 2020.

By 2021 it started as the second-largest crypto price doubling in 2018, ATH broke and Invisible reached highs. The total is on top in mid-May, with its current record charted at $4400

Despite the subsequent retraction and volatility, ETH still stands today – around $3,100. This means that at the same time that investors withdrew ETH from the exchanges, the asset price has rocked nearly 800%.

ETHUSD  Source: TradingView
ETHUSD Source: TradingView

Binance Futures 50 USDT Voucher FREE: Use this link to register and receive 10% of the fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register and enter the POTATO50 code to get 50% free bonus on any deposit up to 1 BTC.

Leave a Reply

Your email address will not be published. Required fields are marked *