Around one-quarter of Ethereum are held on cryptocurrency exchanges or 23.6% of entire circulating supply of $10.3 billion. According to ViewBase analytics platform, 26,768,260 ETH are currently held on centralized exchanges.
A total of 26 million of Ether tokens are held by 10 centralized exchanges. Of the total amount, the majority of Ethereum is held on Coinbase crypto exchange with 8,521,807 ETH or 7.5% of the supply.
Ether is significantly upfront in comparison to Bitcoin (BTC) in terms of the percentage of tokens held on exchanges. While, the largest cryptocurrency by market capitalization is only holding 8.1% of its circulating supply on these centralized exchanges.
However, crypto analyst Willy Woo believes that when the amount of cryptocurrencies held on exchanges drops below a certain level, that is actually a “sign that new buyers are coming in to scoop the coins off the markets and moving them into cold storage.”
When coins on spot exchanges drop, it's a sign that new buyers are coming in to scoop coins off the markets and moving them into cold storage HODL, we are seeing new HODLers right now. Very macro bullish. pic.twitter.com/XKsOsyYGIq
Therefore, Woo sees that the low share of BTC held on cryptocurrency exchanges is overall bullish on the larger scale.
Data from Glassnode crypto aggregator shows that BTC held on exchanges has dropped notably through the entire 2020. In February, it fell from its all time high of 2.97 million to dropping below 2.6 million just yesterday itself.
However, the crypto analytics company has also shown an overall bullish picture for Bitcoin. The daily number of new Bitcoin addresses has increased by up to six times in comparison to Ether. Meanwhile, the daily seven-day moving average of exchange net flow volume for both Bitcoin and Ether has shown a gloomy picture over the past two months.
A noteworthy point to be made here is that data from Glassnode differs from ViewBase in regards to the percentages of Ether held on crypto exchanges. According to Glassnode, there are less than 16.6 million ETH (14.7%) while 2.6 million BTC (14%) are held on exchanges.