Ether Exchange Supply Falls To 6-Year Low on Binance
Ether exchange balances hit a multi-year low following massive withdrawals, primarily from Binance, signaling a potential supply squeeze.Summary
The balance of Ether (ETH) held on centralized exchanges has dropped significantly, reaching a multi-year low after over 31 million ETH were withdrawn in February, the largest monthly outflow since November. Binance accounted for nearly half of these withdrawals, causing its specific ETH reserves to fall to their lowest level since 2020. This sustained reduction in exchange supply means fewer coins are readily available for spot trading, which can increase price volatility during market surges. Concurrently, derivatives data reveals a split in market sentiment: smaller retail traders show consistent buying pressure, while larger participants (whales) have been net sellers. If retail accumulation continues and large-scale selling subsides, the reduced exchange supply could amplify any upward price movement once ETH solidifies above the $2,000–$2,150 range.
(Source：Cointelegraph)