Ethereum’s price has been relatively stable around $2,200, but recent data from Santiment reveals a significant drop in Ethereum balances on exchanges. Over 240,000 ETH has left the 10 largest exchange wallets in the past 24 hours, resulting in a reduction of the total supply on exchanges from 8.03 million ETH to 7.79 million ETH. This translates to a loss of over $528 million worth of ETH in exchange balances.
The decrease in Ethereum supply on exchanges is considered a bullish sign for the cryptocurrency. With fewer ETH available for trading, the supply is limited, which could potentially lead to an increase in price. The trend of ETH whales buying large amounts of Ethereum has been ongoing since the beginning of the month, with a 98.52% increase in exchange outflow volume in the past 30 days.
This week alone, whales purchased over 100,000 ETH, equivalent to $230 million. The sentiment of buying and moving ETH off exchanges continued, with 240,000 ETH leaving exchanges in a span of 24 hours. As a result, only 8.07% of Ethereum’s total supply currently sits on exchanges, the lowest it has ever been.
Despite failing to surpass the $2,250 price level, Ethereum is now trading at $2,208. Technical analysis suggests that Ethereum is consolidating within an ascending triangle pattern, with a potential price range between $2,150 and $1,900 before a breakout to a target of $3,500.
Overall, the outlook for Ethereum remains bullish, with its price up 82.67% this year. Many analysts predict that Ethereum has the potential to reach $10,000 in 2024, especially if Ethereum Spot ETFs are introduced as a major catalyst for price growth. However, as with any investment, it is important to conduct thorough research and consider the risks before making any investment decisions.