Ethereum’s Exchange Supply Falls Below 4.9% for First Time in History, Bitcoin Drops to 7.1%

On May 20th, COINOTAG News reported a significant milestone in the cryptocurrency landscape, highlighting a profound decline in Ethereum’s supply on exchanges, now below 4.9% for the first time in over a decade. This shift indicates a marked trend toward long-term holding by investors. Similarly, Bitcoin’s supply has also contracted, currently resting at 7.1% on exchanges—the lowest level since November 2018. This suggests a growing market confidence among BTC holders, emphasizing a preference for off-exchange custody. Over the past five years, the available Bitcoin on exchanges has dwindled by 1.7 million coins, while Ethereum has seen a more drastic reduction of 15.3 million coins. These movements signal a potential tightening of liquidity, which could influence future price dynamics and market stability in the cryptocurrency ecosystem.