Ethereum (ETH) on Exchanges at All-Time Low; Bullish?

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As a seasoned crypto investor with a decade of experience under my belt, I’ve seen my fair share of market fluctuations and trends. The current state of Ethereum (ETH) has me intrigued, to say the least. With less than 1 in 10 coins sitting on centralized exchanges – a record low since its public release – I can’t help but feel that we’re not bullish enough!

The second-largest digital currency, Ethereum (ETH), has achieved an important milestone: the percentage of its total amount stored in centralized exchange platforms is at an all-time low. This trend, often seen as a positive indicator for the medium-term outlook by analysts.

Ethereum (ETH) supply shock coming, this metric says

The global proportion of Ethereum (ETH) supply kept on centralized exchanges has hit an all-time low in the history of this asset. As per recent data from Glassnode, as of August 2024, a mere 9.75% of all Ethers are being held on these exchanges.

🔵 I’m not convinced enough! 🔵

— Leon Waidmann | Onchain Insights🔍 (@LeonWaidmann) August 26, 2024

It’s the first time since Ethereum (ETH) went public that fewer than one out of ten Ether coins are being transferred to centralized trading platforms.

Research Lead Leon Waidmann from Onchain Foundation expresses enthusiasm over the prospective impact on Ethereum’s price fluctuations as this process unfolds.

Despite our cautious outlook, it’s crucial to acknowledge that the ongoing development could indeed bring about a significant reduction in Ethereum’s supply, which is a very real possibility.

In March 2024, the Ethereum community last transferred Ethers to cryptocurrency exchanges, aiming to cash out their earnings as Ethereum reached its all-time high (ATH) price.

As an analyst, I’ve noticed a trend that aligns with seller indifference: an increasing number of Ethereum (ETH) holders are choosing to retain their assets, aiming to sell at more favorable prices in the future.

Ethereum (ETH) gas price lost 85% in last year

Currently, the value of Ethereum (ETH) is battling to hold above $2,810 and has experienced a decrease of 1.6% over the past 24 hours. Additionally, there’s been a drop in daily trading volume by approximately 3.65%.

As the decrease in ETH shares on exchanges unfolds, it coincides with a significant other trend: Using Ethereum (ETH) is now more affordable than ever, as gas fees hit record lows in August 2024.

The typical cost for transacting Ethereum (ETH) currently stands at approximately $0.28, as the average gas price has fallen to around 2.6 Gwei.

About a year back, Ethereum (ETH) gas prices surpassed 16 Gwei. However, recently, Ethereum gas fees have decreased due to the deployment of network updates and diminished on-chain transactions on Ethereum’s Layer 1.

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2024-08-26 19:37