$ETH Exchange Supply Hits Lowest Since 2016
Ethereums exchange supply has plunged to its lowest level since 2016 as investors withdraw ETH from exchanges into cold storage staking DeFi and longterm holding destinations a trend that reduces available sellside liquidity and increases price sensitivity to demand
Whats Happening Underneath the Surface
ETH held on centralized exchanges has dropped dramatically with balances near 148M ETH the lowest since 2016
The Exchange Supply Ratio ESR is around 014indicating a sharply shrinking pool of ETH available for quick selling
Institutions, corporate treasuries and ETFs are quietly accumulating locking significant amounts away rather than leaving them on exchanges
Why This Is Thrilling
Tight supply higher volatility less ETH on exchanges means every bidsell impacts price more
Selling pressure drops: with fewer coins to dump on markets any fresh demand can push price harder
Bullish supply squeeze potential similar historic lows in exchange supply have preceded strong rallies as scarcity meets demand
Short Thrilling Take
Ethereums exchange supply is at its lowest since 2016 sellers are pulling ETH off exchanges faster than ever while institutions quietly accumulate That shrinking liquid supply and rising longterm holding could squeeze the market and set the stage for big upside when demand returns🚀
ETH Ethereum SupplyShock Crypto
Not financial advice always do your own research
