TLDR
- Ethereum exchange supply reaches nine-year low at 14.8 million ETH
- Institutions control 10% of total ETH supply through treasuries and ETFs
- 2.7 million ETH worth $11.3 billion withdrawn from exchanges in September
- Long-term holders selling creates price resistance near $4,000
- Corporate accumulation accelerated in July despite sideways price action
Ethereum price remains stuck near $4,000 despite bullish accumulation trends. Exchange balances have dropped to their lowest level since 2016, yet ETH struggles to break higher.
The amount of Ethereum held on centralized exchanges now sits at just 14.8 million ETH. This represents a nine-year low for exchange reserves.
Exchange supply has been declining steadily since mid-2020. Over the past two years, ETH balances on trading platforms have been cut in half.
The pace of withdrawals accelerated in July. Since then, exchange balances have dropped 20% as institutional buyers ramp up accumulation.
CryptoQuant data shows the Ethereum exchange supply ratio at 0.14. This marks the lowest reading since July 2016.
When crypto moves off exchanges, it typically signals long-term holding strategies. Investors often transfer tokens to cold storage, staking protocols, or DeFi platforms.
In September alone, more than 2.7 million ETH left exchanges. This movement represents over $11.3 billion worth of Ethereum at current prices.
The 30-day moving average of Ethereum exchange outflows hit its highest level since late 2022. This shows institutional accumulation is accelerating.
Corporate Treasuries Drive ETH Demand
Corporate Ethereum treasuries have emerged as major buyers since June. Companies like Tom Lee-backed BitMine now hold over 2% of total ETH supply.
Around 68 entities have purchased 5.26 million ETH since April. This buying spree totals approximately $21.7 billion and represents 4.3% of circulating supply.
Most corporate buyers stake their Ethereum holdings rather than keeping tokens on exchanges. This strategy generates additional yields while removing selling pressure.
US spot Ethereum ETFs have also increased their holdings during this period. These investment products now control 6.75 million ETH worth nearly $28 billion.
ETF holdings represent 5.6% of total Ethereum supply. Combined with corporate treasuries, institutional entities now control around 10% of all ETH.
BTC Markets analyst Rachael Lucas described this as Ethereum getting “the Wall Street glow-up.” She noted treasuries are stacking ETH while exchange supply hits multi-year lows.
ETH Price Action Remains Muted
Despite bullish accumulation metrics, Ethereum price has struggled to maintain upward momentum. ETH currently trades around $4,176, holding above critical $4,074 support.
Long-term holders have been selling their positions, creating opposing pressure. Ethereum’s Liveliness metric shows established investors are distributing rather than accumulating.
This selling from early adopters counters institutional buying pressure. The dynamic has kept ETH locked in a range between $4,000 and $4,500 for several weeks.
Ethereum price fell more than 11% over the past week, dropping below $4,100. The immediate resistance level sits at $4,222.
A break above $4,222 could enable recovery toward $4,500. However, continued selling pressure could push ETH below $4,027 support toward $3,910.
The standoff between institutional accumulation and long-term holder distribution continues to limit strong price movements in either direction.
