While the second-largest crypto asset by market capitalization has gained more than 15% in value against the US dollar over the past week, the number of ethereum stored on exchanges has declined significantly over the past few weeks. In less than two years, more than 29% of ethers held on exchanges have left centralized trading platforms and since December 2021, around 5.89% or 1.51 million ethers have left exchanges.
The number of Ethereum on exchanges continues to drop
Seven days ago, Bitcoin.com News reported on the number of bitcoins (BTC) held on exchanges and how the metric fell to the lowest point in three years. Interestingly, the same trend occurred with the number of Ethereum (ETH) stored on exchanges.
At the time of writing, the amount of ethereum stored on exchanges today is 24.09 million ethereum worth $71.3 billion. The amount or number of ether held on exchanges today is the lowest amount since December 1, 2018, just over three years ago.
Cryptoquant.com’s exchange balance data statistics show that in the first week of August 2020, there were over 34.2 million Ethereum stored on exchanges. At this time in 2020, ETH was trading hands for $375 per token, meaning trading platforms held $12.8 billion worth of ethereum.
Using today’s exchange rates, the 34.2 million equals over $101 billion worth of ethereum (ETH). From that time until today, 29.56% of the 34.2 million left the exchanges.
Indeed, since December 2021, 5.89% of the number of ethereum held on exchanges (25.6 million ethers at the time) left the centralized trading platforms. Data collected by Bituniverse, Peckshield, Etherscan, and Chain.info indicates that as of March 19, 2022, Binance holds 3.59 million Ethereum (ETH) worth $10.5 billion.
Huobi Global holds 2.13 million ether worth $6.25 billion, Kraken stores 2.27 million ether worth $6.6 billion, and Okex orders 364,630 ether from worth $1 billion today.
The current data that shows Ethereum (ETH) leaving exchanges is a good sign for supporters as it indicates that users are taking advantage of non-custodial storage solutions. With less ETH being held on the exchanges, the selling pressure is also decreasing and causing the liquidity on the exchanges to decrease as well.
Additionally, a large amount of Ethereum is now dedicated to staking solutions, and the recent drop in Ethereum exchange balances suggests that significant amounts of ether could be dedicated to staking operations.
What do you think of Ethereum balances on exchanges today and how they are currently at a three-year low? Let us know what you think about this topic in the comments section below.
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ETH Continues To Leave Trading Platforms, Ethereum Balance On Exchanges Lowest In 3 Years
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