Ethereum is making headlines again, but this time not just because of its price. According to the latest on-chain data, the amount of ETH held on centralized exchanges has plummeted to its lowest level in the network’s history — a milestone that could have significant implications for its future price trajectory.
Ethereum Exchange Balances Hit Historic Low
Recent insights from blockchain analytics firm Santiment reveal that only 4.9% of Ethereum’s total circulating supply is now sitting on exchanges. To put that in context, that’s the lowest figure ever recorded since Ethereum’s launch nearly a decade ago. It signals a strong shift in investor behavior — away from short-term trading toward long-term holding and self-custody.
Over the past ten years, there’s been a gradual but significant outflow of ETH from centralized exchanges. In total, Santiment notes a decline of 15.3 million ETH in exchange-held reserves. That’s not just a statistic — it’s a powerful indicator that investors increasingly prefer to store their assets in private wallets, often seen as a vote of confidence in Ethereum’s long-term value.
A Surge in Demand: One Million ETH Withdrawn in a Month
Zooming in on more recent data, crypto analyst Ali Martinez pointed out that nearly 1 million ETH were withdrawn from exchanges in just the last month. That trend coincides with Ethereum’s strong price rally, where ETH has gained over 58% in the past 30 days.
Such rapid withdrawals typically imply reduced selling pressure. With fewer tokens available for sale on exchanges, supply gets tighter — and when paired with increasing demand, this often sets the stage for a price surge.
Price Breakout: ETH Reclaims Momentum
Ethereum’s price has been riding this bullish wave. After briefly dipping below the $2,400 mark, ETH bounced back strongly, posting an 8.8% gain in the last 24 hours and currently trading above $2,570. Its market capitalization now sits comfortably at $310 billion.
Supporting this rally is a rise in futures activity. Data from Coinglass shows Ethereum futures open interest has surged 7%, reaching $31.24 billion, suggesting that traders are betting on further upside. Short liquidations are also up sharply — nearly $60 million liquidated in the past day alone — which often accelerates upward price movement.
Technical Bullish Signals: The Golden Cross Emerges
Adding more fuel to the bullish case, market analyst Crypto Patel has identified a “Golden Cross” formation on Ethereum’s 12-hour chart. For those unfamiliar, a Golden Cross appears when a short-term moving average crosses above a long-term moving average — a classic sign of bullish momentum. Patel projects ETH could soon test price levels in the $3,800 to $5,000 range if momentum holds.
What’s Next for Ethereum?
If Ethereum manages to hold above the key support at $2,500, many analysts believe a move to $3,000 and beyond could be just around the corner. The combination of low exchange supply, strong futures interest, and a technically supportive structure suggests that the ETH rally may be far from over.
And let’s not forget the broader context: with Ethereum often seen as the bellwether for altcoin sentiment, continued strength in ETH could spark renewed interest across the entire crypto sector — potentially igniting a wider altcoin season.
For now, Ethereum’s fundamentals and technicals seem to be lining up. Long-term holders are making their positions clear — and the market appears to be following their lead.
