There is an indication of a decrease in the number of large holders of Ethereum (ETH), the second-largest cryptocurrency by market capitalization, according to the latest report.
Glassnodes, the platform that monitors movements of on-chain metrics of certain cryptocurrencies, Ethereum is seeing a notable decrease in large holders of ETH. The on-chain report shows it’s currently at a level last seen two years ago.
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Glassnode specifically stated that Ethereum addresses holding over 10,000 ETH has now dropped to 1,082.
📉 #Ethereum $ETH Number of Addresses Holding 10k+ Coins just reached a 2-year low of 1,082
View metric:https://t.co/paW9ojeWBw pic.twitter.com/eWw9i4lsKV
— glassnode alerts (@glassnodealerts) August 26, 2023
The latest scenario indicates that there has been a drastic decrease in the number of Ethereum whales over the last two years. This could either imply that large holders are selling off their assets due to the lethargic growth of ETH over the same period or they are sharing their assets into smaller addresses.
Ethereum on Exchanges Just Reached 5-Year Low
A similar but positive report from Glassnodes has stated that Ethereum (ETH) has been flowing out of exchanges in numbers over the past 5 years.
According to Glassnodes, ETH on exchanges is currently at a 5-year low of 14,740,830.732 ETH. The platform added that the previous 5-year low of 14,741,838.489 ETH was observed on the 25th of August. This implies that about 1,007 ETH were moved away from exchanges over the last 24 hours.
Glassnodes tweeted, “Ethereum ETH Balance on Exchanges just reached a 5-year low of 14,740,830.732 ETH. Previous 5-year low of 14,741,838.489 ETH was observed on 25 August 2023.”
📉 #Ethereum $ETH Balance on Exchanges just reached a 5-year low of 14,740,830.732 ETH
Previous 5-year low of 14,741,838.489 ETH was observed on 25 August 2023
View metric:https://t.co/1dCpD2ey8E pic.twitter.com/8Ejn7lbJ7Q
— glassnode alerts (@glassnodealerts) August 26, 2023
It’s generally known that is a positive fundament for an asset being continuously moved out of exchanges to self-hosted wallets. This certainly reduces the chances of being sold off on the open market.
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So, the continuous movement of Ethereum (ETH) out of exchanges is an indication of an increase in trust by most investors, which is good for its future price trajectory.
Although the digital asset’s price trend has been lethargic in recent months, both technical and fundamental indicators are bullish. Also, most analysts and pundits remain resolute that the market will soon bolster for the second-largest cryptocurrency.
At the time of filing this report, ETH is trading at $1649, with a slight change in price in the last 24 hours, according to CoinMarketCap.
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