The amount of Ether ( ETH ) on the exchange has reached unprecedented lows since July 2016 as staking led to massive Ether withdrawals.
Data from Glassnode shows that as of Thursday, 14.85% of all ether is held in wallets owned by centralized exchanges. We haven’t seen such low levels in a very long time. Since its inception in the summer of 2016
On the other hand, during the 2021 bull market, ETH volumes are around 25-26%, which is generally a good sign of low ETH volumes. Because it means that the supply available to buy is limited. Therefore, it puts more pressure on the price.
“This trend is expected to persist. Especially considering that deflation will drive the price of Ether significantly,” stated an analyst at Binfinex. “Before the Shapella upgrade, there may have been several major players who did not stake ETH tokens. Due to concerns about their money being locked up for such an unacceptable length of time.”
refer : LINK
The post Ether balances on exchanges are approaching record lows. Since July 2016 appeared first on Bitcoin Addict.