HomeBitcoinOver 200,000 Ethereum Tokens Sent To Centralized Exchanges - A Threat To...

Over 200,000 Ethereum Tokens Sent To Centralized Exchanges – A Threat To ETH Price?

-

Following a relatively quiet start to the week, Ethereum’s price seems to have returned to some of its early December promises. However, the latest on-chain revelation shows that the “king of altcoins” might be facing some uncertainty over the coming the coming weeks.

A massive amount of ETH has made its way to centralized exchanges over the past few days, resulting in a spike in the Ethereum balances of these platforms.

200,000 ETH Sent To Exchanges In Four Days – What’s Next?

In a post on the X platform, a crypto pundit revealed that investors have been moving massive amounts of Ethereum to centralized exchanges over the past few days. This on-chain revelation is based on the “Balance On Exchanges” metric from data analytics platform Glassnode.

According to the data from Glassnode, around 200,000 ETH (worth more than $460 million) have been transferred to known cryptocurrency exchange wallets in the past four days. When most cryptocurrencies are sent to centralized exchanges, it typically suggests that some investors might be looking to offload their assets.

Ethereum

Total balance of Ethereum on all crypto exchanges | Source: Ali_charts/X

Exchange inflows can be an indication of sell-offs, as investors often use these centralized exchanges for the purpose of selling assets. Consequently, the transfer of massive crypto amounts to these platforms could trigger downward pressure on the price of a crypto (Ethereum, in this case).

Moreover, the crypto pundit noted in their post on X that a substantial spike in exchange inflows could indicate upcoming price volatility for ETH. This implies that there is an increased likelihood of big price swings in the near future.

Ethereum Price Overview 

However, it is worth noting that there has not been any clear impact on Ethereum’s price so far. As of this writing, the cryptocurrency is valued at $2,287, reflecting a mere 1.4% price growth in the past 24 hours.

On the weekly timeframe, the price of ETH has also been quiet, with barely a percent increase in the past seven days. This emphasizes the altcoin’s struggles to hold above $2,300 despite making it above the price mark on Friday, December 22.

Nevertheless, Ethereum maintains its position as the second-largest cryptocurrency in the sector, with a market capitalization of more than $274 billion.

Ethereum

Ethereum price faces rejection at $2,300 on the daily timeframe | Source: ETHUSDT chart on TradingView

Featured image from Bernard Marr, chart from TradingView

LEAVE A REPLY

Please enter your comment!
Please enter your name here

LATEST POSTS

Bitcoin Mining Mandatory Survey Halted By US Judge

Since the crypto mining ban in China in 2021, the US has become one of the largest mining hubs for Bitcoin miners. However, regulatory agencies...

BlackRock Spot Bitcoin ETF Trades over $1 Billion So Far Today In New Milestone

In a significant milestone for spot Bitcoin exchange-traded funds (ETFs), BlackRock's spot Bitcoin ETF has recorded over $1 billion in trades today alone, according to Bloomberg...

Argentine President Javier Milei Seeks to Penalize Central Bank Money Issuance

Javier Milei, the libertarian president of Argentina, is seeking to stop the issuance of money by the country’s central bank. Milei stated he would send...

Most Popular

spot_img