- The supply of Ethereum on exchanges has continued to decrease in the new year.
- The number of daily stakes showed that the asset, once taken off exchanges, was not flowing back in.
In recent weeks, Ethereum [ETH] has witnessed a decrease in its supply on exchanges. How has this impacted the number of holders?
Exchanges keep getting less supply of Ethereum
AMBCrypto’s analysis of Ethereum’s Supply on Exchanges shows a gradual reduction from the 1st of January, although it remained above 10 million at press time. The exchange supply stood at around 10.52 million at the beginning of the year.
Still, as of this writing, it has decreased to around 10.45 million. This represented a decline from over 8% to about 7.9%.
Source: Santiment
The decreasing Supply on Exchanges indicated that holders were withdrawing their assets from these platforms at the time of the report. This could lead to increased scarcity, depending on the destination of these assets.
Are more Ethereum flowing into stakes?
AMBCrypto found that Ethereum’s staking chart on Glassnode showed a consistent increase in stakes, with over 35.7 million as of this writing.
While the overall growth might suggest that ETH withdrawn from exchanges was being staked, a closer look at the daily new stake numbers challenged this assumption.
Post the 30th of December 2022, the chart showed a decline in new deposits, dropping below 2,000. As of this writing, the number had fallen below 1,000.
This trend suggested that not all ETH withdrawn from exchanges had been staked, at least not in its entirety and for the present period.
Source: Glassnode
Ethereum holders keep increasing
AMBCrypto also found that Ethereum holders showed sustained growth over recent months, with the press time count approaching 112 million. The chart showed an upward trend, affirming the ongoing expansion.
How much are 1,10,100 ETHs worth today?
This suggested a continuous increase in wallets acquiring and holding ETH, even amid reduced Supply on Exchanges. Additionally, the Supply outside of Exchanges implied that the diminishing supply might be attributed to accumulation.
As of this writing, the Supply outside of Exchanges was over 120 million.
Source: Santiment