The number of Ethereum (ETH) held in crypto exchanges has been steadily increasing since past months and reached an all-time high in March 2020, when the market suddenly collapsed due to the Coronavirus crisis. While ETH on exchanges has reached its all-time high, on the contrary, there is a big drop in the amount of BTC stored in exchanges.
Ethereum (ETH) on Crypto Stock Exchanges Close to ATH
Ethereum balances on exchanges are close to the all-time highs, according to a new report published on Twitter by cryptocurrency analyst Ceteris Paribus. The analyst suggested that this could be a lot of bulls for Bitcoin, but could drop for Ethereum.
Exchanges continue to see steady $BTC withdrawals.
Balances down >300k BTC (~$3B) since Black Thursday. Lowest balance held on exchanges since May 22, 2019, nearly one year from today. pic.twitter.com/mGofvh8R41
— Ceteris Paribus (@ceterispar1bus) May 16, 2020
There is also a clear relationship between price performance and BTC or ETH held on exchanges. In the case of Bitcoin, it is possible to see that there are many BTCs withdrawn from exchanges during the collision in March. This happened even though we were at the pre-crash levels in terms of price.
Things are a little different for Ethereum. The accident had a different effect on the amount of ETH held on the stock exchanges. Looks like users decided to buy ETH and hold their funds on the stock exchanges before selling. BTC users, on the other hand, seem to have bought BTC and kept it out of stock markets for long-term investments.
As Ceteris Paribus explains, this can be a lot of bulls for Bitcoin, but it looks like a bearish signal for Ethereum. If ETHs are still available on exchanges, users and investors may be considered to have their funds available for sale at any time.
Bitcoin balances have dropped close to $ 3 billion 300,000 BTC since the Coronavirus accident in March. This level is the lowest balance held on the stock market since May 22, 2019 almost a year ago. When this happened, the price of Bitcoin rose, after a few months the leading cryptocurrency reached the price of $ 13,750.
We cannot say the same about Ethereum, which has reached its all-time high after Black Thursday and is currently 132,000 ETH (close to $ 26 million). The real question is whether the balances on crypto exchanges will have any impact on the price of these assets. However, it is clear that this may be somehow positive for Bitcoin and negative for Ethereum in the coming months.