Cryptocurrency analytics company CryptoQuant has identified a significant contraction in Ethereum’s liquid supply, which has fallen to its lowest level since 2024, according to the company’s latest market assessment. The analysis, based on Binance data, indicates a substantial decrease in the amount of ETH immediately available for trading. CryptoQuant suggests this supply reduction could ease selling pressure in the near term and provide price support.
Binance ETH Supply Breakdown
According to CryptoQuant’s data, Binance’s total Ethereum reserves remain relatively balanced at approximately 3.44 million ETH. Within this total, the liquid supply—assets immediately available for trading—has dropped to around 534,000 ETH. The illiquid supply, comprising assets held for longer-term purposes, stands at approximately 2.91 million ETH. This distribution indicates that a significant portion of Ethereum in circulation is being held for the long term rather than active trading.
Liquidity Dryup Explained
CryptoQuant highlighted a process known as “liquidity dryup,” in which investors withdraw their assets from exchanges and store them in cold wallets or reserve them for long-term investments. This activity reduces the active supply available in the market. Historically, such periods have been noted as precursors to strong price movements driven by increased demand, according to the company’s analysis.
Market Interpretation
CryptoQuant interpreted Ethereum’s liquid supply reaching its lowest 2024 level as a sign of increased investor confidence and a strengthening shift toward accumulation rather than selling. The company stated that if this trend continues and market demand improves, a more supportive market structure for Ethereum’s price could develop in the short term.
Disclaimer: This is not investment advice.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Bitcoin and Ethereum Spot ETFs Record Consecutive Net Inflows; BTC ETFs Reach $99.08B in Assets
Abstract: Bitcoin and Ethereum spot ETFs posted net inflows on Apr 21, extending multi-day streaks. BTC inflows were led by BlackRock’s IBIT and Grayscale, with GBTC outflows; ETH inflows were led by ETHA, with ETHE outflows.
Summary: Bitcoin and Ethereum spot ETFs posted Apr 21 inflows, extending gains; BTC led by IBIT and Grayscale with GBTC outflows, NAV $99.08B (6.54%). ETH inflows topped by ETHA, ETHE outflows; NAV $13.66B, inflows $12.05B.
GateNews28m ago
GSR Launches First Multi-Asset Crypto ETF, BESO, on Nasdaq with BTC, ETH, SOL Holdings
GSR launches the first actively managed multi-asset crypto ETF (BESO) on Nasdaq, exposing BTC, ETH, and SOL with integrated staking and weekly rebalancing for a 1% fee.
Abstract: GSR has launched its first multi-asset crypto ETF, the GSR Crypto Core3 ETF (BESO), on Nasdaq. The fund holds Bitcoin, Ethereum, and Solana and offers integrated staking within the fund, alongside active management with weekly rebalancing and a 1% management fee. This marks GSR's expanded foray into crypto ETFs and asset management services, signaling the growing adoption of actively managed, staking-enabled crypto vehicles in the U.S.
GateNews42m ago
Ethereum Contract Positions Rise 6.47% in 24 Hours to $32.93B
Coinglass reports Ethereum perpetual open interest up 6.47% to $32.93B, with Gate at $3.218B and three other major exchanges holding $7.515B, $1.868B, and $2.244B.
Abstract: Ethereum perpetual futures open interest rose to $32.93B, with Gate holding $3.218B and other top exchanges carrying the remaining balance, illustrating concentration among leading venues.
GateNews1h ago
Vitalik Buterin's Portfolio Heavily Weighted to Ethereum, Holds $517M in ETH and Diversified Altcoin Positions
The piece outlines Vitalik Buterin's crypto holdings, showing he holds the majority in ETH (about 224,144 ETH valued around $517 million) with limited diversification into a few altcoins.
Vitalik Buterin's asset mix is ETH-heavy (224,144 ETH ~$517M); minor altcoins exist, but many were sent to him without his conscious investment.
GateNews1h ago
Gensyn Launches Delphi, AI-Settled Information Market Platform
Gate News message, April 22 — Gensyn, a decentralized AI infrastructure network backed by a16z crypto, launched its flagship product Delphi, an AI-settled information market platform that allows anyone to create markets and earn fees based on trading volume.
Market creators pre-select fixed-weight
GateNews2h ago
ETH Liquidation Cascade: $1.51B in Long Positions at Risk Below $2,273
Coinglass data show ETH price thresholds: a drop below $2,273 could trigger $1.512 billion in long liquidations, while a rise above $2,505 could trigger $674 million in short liquidations.
This note outlines potential Ethereum liquidation scenarios tied to price thresholds. A drop below $2,273 could trigger $1.512 billion in long liquidations, while a rise above $2,505 could trigger $674 million in short liquidations, per Coinglass.
GateNews3h ago
