Data provided by a popular analytics company shows that investors are pulling large amounts of Ethereum (ETH) from exchanges, reducing the risk of a massive sell-off in the future.
Analytical data provider Santiment has released a tweet stating that Ethereum balances across multiple cryptocurrency exchanges have seen a historic drop. The overall balance of the second-largest cryptocurrency on cryptocurrency trading platforms fell below 18 percent. This is the lowest figure since November 2018.
Santiment believes that by moving their ETH from exchanges to cold storage wallets, users reduce the likelihood of a large ETH sale in the near future. At the time of writing this article, Ethereum was trading at $2,067. Earlier this year, ETH managed to hit an all-time high of $4,362 on May 12, according to data provided by CoinMarketCap.
From the $1,368 level ETH started in 2021 to the day it reached ATH in May, it saw 221% growth. Since May 12, Ethereum has been on the decline, but has recently managed to recapture the crucial $2,000 level.