All about Ethereum’s $500M weekly exodus

  • Monthly ETH withdrawals are now around $1.2 billion.
  • The historical ETH balance on Binance hits its lowest in months.

Ethereum [ETH] experienced a significant outflow in the past week, contributing substantially to the total outflow volume for the entire month. How has this impacted the available supply on exchanges, particularly Binance, the largest exchange?

Weekly ETH withdrawal hits $500 million

IntoTheBlock’s data showed that Ethereum witnessed about $500 million in outflows over the past week. This meant that around $500 million worth of ETH was withdrawn across all exchanges.

Notably, this recent withdrawal contributed to a total ETH outflow of about $1.2 billion for the entire month. This reflected a significant trend of Ethereum being moved away from exchanges.

Further analysis of the exchange netflow on CryptoQuant showed the dominance of outflows since the beginning of the month. The chart showed a consistent pattern of outflows, with the last instance of inflows recorded on 30th January.

At the time of this writing, there has been a continuous outflow of over 3,000 ETH. How does this ongoing trend shape the supply of Ethereum on exchanges?

Ethereum exchange netflow

Source: CryptoQuant

Analyzing the Ethereum supply on exchanges

Analyzing the Ethereum supply on exchanges showed a mixed trend throughout January. The chart showed an initial increase in supply, reaching around 10.7 million by 15th January.

However, a subsequent decline followed, bringing the supply down to 10.3 million by 28th January. Interestingly, the supply has recently started to trend upward again, continuing into February.

At the time of this writing, the Ethereum supply on exchanges was around 10.6 million.

ETH supply on exchanges

Source: Santiment

Historical Ethereum balance on Binance declines

While the overall Ethereum supply on exchanges witnessed a recent increase, the historical balance, specifically on Binance, showed a contrasting trend. Similar to the general exchange supply, the historical balance on Binance had a mixed pattern throughout January.

Ethereum historical balance on Binance

Source: Santiment

An analysis of the chart showed that the ETH balance on Binance began to rise, climbing from around 3.8 million to over 3.9 million by 23rd January.

However, there was a subsequent decline, and as of this writing, the balance was around 3.7 million. This decline indicates that the volume of Ethereum held by the world’s largest exchange has decreased.

The primary cause of this decline is user withdrawals, as highlighted in the data from IntoTheBlock.

 Realistic or not, here’s ETH’s market cap in BTC terms

Also, at the time of this writing, ETH was trading at around $2,319. What could also be observed on the daily timeframe chart was that it has been increasing for the past three days.

The increase has reduced the strength of its bear trend, and at the time of this writing, its Relative Strength Index (RSI) was close to the neutral line. 


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