Ethereum Balances Plummet on Exchanges

Ethereum has seen an 82.67% increase in 2023, and bullish sentiments persist for 2024, with predictions of ETH reaching $10,000.

At present, the price of Ethereum (ETH) is approximately $2,200, and it has exhibited relatively stable volatility over the last week.

The current sentiment among Ethereum whale addresses has been disclosed by new data from Santiment, as the total supply on exchanges recently reached a new low.

In the preceding twenty-four hours, over 240,000 ETH have been transferred out of the ten largest Ethereum exchange wallets, as reported by the on-chain analytics platform.

Consequently, in a single day, the total amount of ETH deposited across cryptocurrency exchanges plummeted from 8.03 million Ethereum to 7.79 million ETH, an unprecedented decline.

Given the present value of ETH, approximately $2,200, this signifies a reduction in exchange balances exceeding $528 million worth of ETH.

Ethereum has declined 1.74 percent over the last twenty-four hours and is presently retesting its breakout level near $2,200, which appears to have transformed into support.

A stark decline in Ethereum balances on exchanges, on the other hand, is a highly optimistic indicator for ETH. It has reduced ETH availability on exchanges, resulting in a diminished supply.

Since the start of the month, Ethereum whales have been engaged in a purchasing frenzy, with many anticipating an extended bull run at the beginning of the new year.

According to data from IntoTheBlock, the volume of exchange outflows has increased by 98.52 percent over the last thirty days. Whales acquired over 100,000 ETH worth $230 million in the previous week alone.

This sentiment persisted throughout the week, as 240,000 ETH left exchanges within twenty-four hours, resulting in a 2.99% decline in the number of currencies held on sale.

Santiment reports that an all-time low of 8.07% of Ethereum’s total supply is presently available for exchange.

Ethereum failed to surpass the $2,250 price threshold on December 19, plummeting to $2,120 in the late hours of the day. As of this writing, the current trading price of ETH is $2,208.

Price action indicates that retail investors have yet to give significant support to the cryptocurrency, which is currently undergoing a retest.

Ali Martinez, a cryptocurrency analyst, asserts that Ethereum is oscillating near its breakout zone from an ascending triangle.

Price action between $2,150 and $1,900 is possible if this consolidation persists before a breakout to a target of $3,500.

Ethereum has increased by 82.67% this year, and the bullish outlook for 2024 persists. Altcoin Daily, a cryptocurrency analyst, predicts that ETH will soon reach $10,000, contingent on Ethereum Spot ETFs serving as a significant catalyst for this price increase.

Ethereum Balances Plummet on Exchanges
ETH bulls continue to maintain control | Source: ETHUSD on Tradingview.com