Santiment has revealed that the exchange balance of ether (ETH) has shrunk to 8.51% of the cryptocurrency’s total supply. Its outflow has been observed over the past few months.
Last summer, investors preferred to store the altcoin on offline addresses. In the middle of last week, traders withdrew 110,000 ETH worth $181 million from trading platforms in just one day.
The volume of the cryptocurrency in exchange wallets is now at its lowest level since May 2018. However, the withdrawal of ether to cold storage has not yet had a positive effect on its value.
On the night of Thursday, October 12, the altcoin fell to $1561. Over the week, its capitalization fell more than 5% to $187.775 billion.
The ten largest autonomous wallets accumulated $61.6 billion in ether. These whales control 39.22 million ETH.
The ten largest exchange addresses contain 6.91 million ETH totaling $10.9 billion. If the altcoin falls in price to $1530, it will face a more severe drawdown, experts say.
The RSI relative strength index fell below 50 the day before, which indicates that ether is oversold. If buyers become active in the coming days, the cryptocurrency should hold at values above $1500.