The volume of ETH stored on the wallets of crypto exchanges has recorded a 19-month low. The amount of “whales” has also been declining.
According to data service Glassnode, on the past Sunday, $560 million worth of ETH were extracted from the crypto exchanges. Thus, the amount of Ether in the wallets of the exchanges plummeted to 14.7 million, which is the lowest amount in the last nineteen months.
The last time the balance of Ethers on the wallets of cryptocurrency platforms reached the same level in August 2019, when ETH was worth $220. Note that at the start of the month, the ETH price for the first time in record reached $2,150.
Furthermore, the number of “whales” – large holders of ETH – is falling. The number of addresses that store more than 1,000 ETH dropped to a three-year low in the weekend, and with a balance of 100 ETH to a twenty-month low. A comparable drop is witnessed for addresses with a balance exceeding 10 ETH and 32 ETH.
Possibly the Ether “whales” are selling off their assets in the context of the soaring prices or are moving ETH to cold wallets or DeFi protocols. If the whales in fact are moving their ETH into cold storage, the volume of ETH on the exchanges reduces. Due to the high demand for the crypto asset, this can positively affect its price and impact to the further increase of the coin.
Then again, a decline in the number of “whales” may suggest that big holders are selling off their ETH because they may think that the crypto asset has achieved a maximum price and from this point forward its value will begin to decrease.
We remind you that the overall capitalization of the cryptocurrency market exceeded $2 trillion this weekend.
