Centralized exchanges withdrew more than $1.1 billion worth of Ether within 24 hours. This year, it’s the second time of such a massive withdrawal when the price went vertical.
As we mentioned before, centralized exchanges made a sudden decision to withdrawal of more than $1.1 billion worth of Ether in the past 24 hours. This event led to speculation about expected price increases for Ether as supply shortens on many trading points.
According to data shared by IntoTheBlock, a crypto analytics provider, more than $1.1 billion worth of ETH was removed from exchanges on Thursday. It marked a new record that produced a short-term outflow from CE.
Overview of The Ether Price Movement
IntoTheBlock remarked that Ether’s price surged by around 65% in just 30 days. This resulted from removing $1 billion worth of ETH from centralized trading platforms at the beginning of April this year.
However, the situation has changed after this event in April. Last month London’s upgrade presented a burn mechanism in the fee market of Ethereum. This process created deflationary pressure that increased and affected the supply dynamics of Ether.
At the moment of writing this article, according to Ultrasound Money, in the 43 days, Ether (309,506 ETH, which is worth more than $1.2 billion) had been burned since the Improvement Proposal of Ethereum went live. As a result, Ether has been burning from supply at a rate of approximately 5.06 ETH (equal to $18,062) every minute. We can also say $27 million daily since its upgrade. OpenSea is a popular nonfungible token marketplace. It is the leading decentralized application of Ethereum. It shows that more than 15% of all ETH is not available in the supply. After OpeanSea, there is Uniswap with 5.6%, then Tether with 4.8%. In the final position, there is Axie Infinity with 4%.