The Ethereum (ETH) supply held by cryptocurrency exchanges has dropped to a new all-time low, suggesting that the market is still not giving up on the second-largest cryptocurrency despite recent price weakness.
According to the latest on-chain data available on CryptoQuant, the amount of Etheruem held on exchanges has fallen to just 14.5 million ETH, the lowest level ever recorded.
More than 6.5 million ETH has been withdrawn from exchanges between June 11, 2025, and press time, June 11, 2026, a trend that accelerated more sharply in the last quarter of 2025.
As the chart shows, the drawdown has been gradual, and in early 2026, it persisted even during brief periods of price recovery. What this suggests is that the withdrawals are not the result of short-term price swings. Rather, they reflect long-term holding behavior.
What does a declining Ethereum supply mean?
A decline in exchange balances is generally viewed as a bullish long-term signal because it implies that investors are moving their assets into self-custody or staking them rather than keeping them readily available for sale.
Indeed, in contrast to the exchange supplies, Ethereum staking participation is actually climbing. Notably, the amount of staked ETH has reached a record 39.39 million ETH, while around 3 million ETH remains in the validator entry queue.
As already mentioned, however, Ethereum prices remain under pressure. At the time of writing, ETH was trading around $1,650, down nearly 30% on the monthly chart. Furthermore, market sentiment was further weighed down by institution outflows, as U.S. spot Ethereum ETFs recorded more than $167 million in net outflows over the past thirty days, citing SoSoValue data.
Still, while Ethereum indeed faces near-term technical challenges, the combination of record-low exchange balances and record-high staking participation suggests long-term holders continue to accumulate the asset despite ongoing market volatility.
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