Santiment: Decreases in the volume of ether on major exchanges are a signal for the growth of cryptocurrencies

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Cryptocurrency analytics firm Santiment said on Twitter that the volume of ether on exchanges has risen and its decline will signal the end of the crypto winter.

According to Santiment, the amount of Ethereum held on the top ten crypto exchanges now exceeds $7 million. This figure was last reached in May 2021:

“The supply of Ethereum on the top exchanges has increased as traders dump their holdings on major exchanges during the 2022 crisis. Watch for lower Ether volumes on major exchanges as a bullish signal.”

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Analysts at Santiment claim that the ratio of ether held in the wallets of owners to ether on exchanges has reached a yearly low. crypto experts
insist: The reason why the transaction fees of the second largest digital asset by market capitalization remain low is due to the limited amount of Ether in circulation:

“Ethereum fees remain ultra-low despite the price spike since mid-June. Leaner volume has played a big role in driving down costs and fees can be expected to remain reasonable as long as investors don’t have a fair degree of fear of missing out.”

According to Santiment, Ethereum transactions now cost less than $1 on average.

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Last month, Ethereum Foundation Engineer Tim Beiko revealed details of preparations for the final testing phase of Ethereum’s merger with test blockchains. However, amid the transition of Ethereum to PoS, one of the major Ethereum miners announced the creation of a new minority ETHPoW network as a haven for miners who want to escape Ethereum 2.0.

Source: Bits

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