Ethereum traded at $2,412.07 on Friday evening, down 1.85 percent on the day and 2.84 percent on the week (CoinGecko, as of October 16, evening). At the same time, the amount of Ethereum sitting on centralised trading venues is at its lowest in years. Put those two facts together and you get the story doing the rounds this weekend: supply on exchanges is shrinking, so the price has to rise. That equation does not add up, and the reason sits in the same data set.
An exchange reserve is the amount of a cryptocurrency held in the accounts of trading venues, ready to be sold without any further step. When it falls, balances are moving into self-custody, into staking, or into products that tie them up for longer. Less of it is available for immediate selling pressure. That is the half of the story almost every report this week tells. The other half: if hardly anyone is buying at the same time, demand is missing the very counterpart that turns scarce supply into a rising price.
Ethereum exchange reserves are at a multi-year low
The figure everyone cites comes from CryptoQuant and was Read Entire Article
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