logo

Ethereum CEX Reserves Hit a New Low Since 2015, Market Enters State of "Extreme Scarcity"

By: theblockbeats.news|2025/12/07 16:45:59
0
Share
copy

BlockBeats News, December 7th: Ethereum's balance on centralized exchanges has reached a historic low, triggering analysts' warning of a Supply Squeeze. The latest data shows:


ETH reserves on exchanges fell to only 8.7% of circulation last Thursday, the lowest since the network's launch in 2015. As of Sunday, it remained at only 8.8%, nearly staying in an extremely low range. Since July, the ETH balance on exchanges has plummeted by 43%. Meanwhile, institutional and Digital Asset Treasury (DAT) holdings have significantly accelerated.

Research firm Milk Road pointed out: "ETH is quietly entering the most scarce supply environment in history, which is unprecedented." In contrast, Bitcoin's exchange reserve still stands at 14.7%. Analysts believe that a large amount of ETH is locked in scenarios where quick selling is not possible, including:

Staking & Restaking
Layer 2 activities
DAT Treasury
Collateral cycling
Long-term custody

Milk Road stated that the supply squeeze could drive price growth post-sentiment shift: "Sentiment can be pessimistic, but sentiment cannot change the supply structure. When sentiment is misaligned with supply, the price will eventually follow the supply change." Analyst Sykodelic also pointed out that Ethereum's OBV (On-Balance Volume) broke through resistance but was briefly rejected by the price, indicating a typical "divergence," usually signaling hidden buying pressure building momentum for an upcoming uptrend.

-- Price

--

You may also like

The 17-Year Mystery Will Be Solved, Who is Satoshi Nakamoto?

The New York Times Traces the Mystery of Satoshi Nakamoto, with Clues Pointing to Adam Back

5 Minutes to Make AI Your Second Brain

It's time to outsource memory to AI

Uniswap is trapped in an innovation dilemma

The various iterations of Uniswap are one of the sources of vitality in the DeFi market, but since 2023, Uniswap has not proposed any substantial innovations, instead adhering to traditional business explorations in application chains, Launchpads, etc., leading to a slump in token prices and market ...

What is the key to competition in crypto banking?

Digital banks, crypto cards, wallets, super apps, and DeFi protocols are all converging towards the same goal: to become the primary gateway for your savings, spending, earning, and transferring in the new era.

The flow of stablecoins and the spillover effects in the foreign exchange market

Research has found that an exogenous increase in net inflows of stablecoins significantly widens the price deviation between stablecoins and traditional foreign exchange, leads to depreciation of the local currency, and worsens the financing conditions for synthetic dollars (i.e., increases the doll...

After two years, Hong Kong's first batch of stablecoin licenses finally issued: HSBC, Standard Chartered make the cut

The regulated entity is set to launch a stablecoin in the first half of this year.

Popular coins

Latest Crypto News

02:42

Data: If BTC breaks through 76,291 USD, the cumulative short liquidation intensity on mainstream CEX will reach 1.057 billion USD

According to Coinglass data, if BTC breaks through $76,291, the cumulative short liquidation intensity on mainstream CEX will reach $1.057 billion. Conversely, if BTC falls below $69,679, the cumulative long liquidation intensity on mainstream CEX will reach $1.04 billion.
02:42

Data: If ETH falls below $2,150, the cumulative long liquidation intensity on major CEXs will reach $699 million

According to Coinglass data, if ETH falls below $2,150, the cumulative long liquidation intensity on mainstream CEX will reach $699 million. Conversely, if ETH breaks above $2,358, the cumulative short liquidation intensity on mainstream CEX will reach $573 million.
00:42

Iranian President: The Iranian delegation will negotiate bravely and fully safeguard national interests

According to a report from Jinshi citing CCTV News, on the 11th local time, Iranian President Ebrahim Raisi stated on social media that the high-level Iranian delegation heading to Pakistan will fully uphold Iran's national interests and will negotiate with a courageous attitude.He emphasized that r...
00:42

Data: The current 8-hour average funding rate for BTC across the network is -0.0028%

According to Coinglass data, the current 8-hour average funding rate for BTC across the network is -0.0028%. Among the current mainstream exchanges, the funding rate for Binance is -0.0068%, OKX is 0.0055%, Bybit is 0.0003%, and Gate is 0.0017%.
00:42

Data: In the past 24 hours, the total liquidation across the network was $98.5084 million, with long positions liquidated at $41.2151 million and short positions liquidated at $57.2932 million

According to Coinglass data, in the past 24 hours, the total liquidation across the network was $98.5084 million, with long positions liquidated at $41.2151 million and short positions liquidated at $57.2932 million. Among them, Bitcoin long positions were liquidated at $5.661 million, Bitcoin short...
Read more
Community
iconiconiconiconiconiconicon

Customer Support Bot：@WEEX_support_smart_Bot

VIP Services：support@weex.com