These Ethereum Indicators Show Whales Continue To Accumulate

Keshav Verma

3 years ago

3 mins read

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According to on-chain analysis, some Ethereum indicators are showing signals that whales are continuing to accumulate the cryptocurrency.

Ethereum Shows Negative Netflows As Exchange Reserves Continue The Downtrend

As pointed out by a CryptoQuant post, ETH indicators seem to be moving in directions that suggest whales are continuing to accumulate.

There are three important metrics to consider here: the all exchanges netflow, the all the exchanges reserve, and the unique Ethereum 2.0 depositors count.

The all exchanges netflow is an indicator that shows the net amount of ETH entering or exiting centralized exchanges.

When the metric has a negative value, it means more coins are being transferred out of exchanges to personal wallets than the crypto entering in. Such a value could indicate a buying pressure in the market as more investors are interested in hodling or OTC deals.

A positive value suggests just the opposite; exchanges are receiving more Ethereum than the amount moving outwards, and thus there could be a selling pressure in the market.

Here is how the ETH all exchanges netflow chart looks like:

Ethereum continues to observe negative netflows

As the above graph shows, the indicator has been showing negative spikes for the cryptocurrency recently. Negative netflows are usually associated with an increase in the price, like the uptrend the crypto is experiencing right now.

Related Reading | Institutional Investors FOMO For Ethereum Exposure

The next indicator is the all exchanges reserve, which gives the total amount of ETH present in exchange wallets. A rise in this value means more ETH is being transferred to exchanges for selling purposes. Similarly, a decrease means more investors are looking to hodl their coins in personal wallets.

Below is the chart for the Ethereum all exchanges reserve:

The Ethereum all exchanges reserve continues the downtrend

Looks like the value of this metric has been going down in recent months. The trend makes sense as the netflows have been largely negative during the period.

Such a decrease in the exchange reserves means more whales are continuing to accumulate ETH rather than looking for a dump.

Finally, there is the ETH 2.0 unique depositors count that shows the number of accounts who have staked at least 32 ETH.

The metric’s value has been going up as more of these whales are becoming interested in staking their coins, as the below chart shows:

The ETH 2.0 depositors count goes up

Ethereum Price

At the time of writing, ETH’s price floats around $3.2k, up 1.8% in the last 7 days. Here is a chart that shows the trend in the price of the cryptocurrency over the past three months:

After a plunge, Ethereum's value is now sharply going up | Source: ETHUSD on TradingView

Featured image from Unsplash.com, charts from CryptoQuant, TradingView.com

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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