The Largest Ethereum Outflow of the Year from Coinbase (336K+): What Does It Mean?

What’s behind this outflow exceeding $1 billion in value?

The 5th Withdrawal Exceeding 150K

Analyzing Coinbase's 2024 data, we can observe that this is the 5th time more than 150,000 Ethereum has been withdrawn from the exchange.

These large transactions (made in a single day) range between $400 million and $1.1 billion each, it's overly optimistic to think that individual investors are behind them. It’s highly likely that these significant Ethereum withdrawals are driven by whales or as-yet-unknown institutions.

If it's not an internal movement (exchanges sometimes do this), we have a quite positive indicator for the long term.

✅Comment

Although the significant Ethereum withdrawal from Coinbase is noteworthy, the exact reason behind it and its impact on the market remains unclear.

However, we observed similar activities on Coinbase before the trading of Bitcoin Spot ETFs began. The withdrawal valued at $1.17 billion on June 12, 2024, might be driven by whales or institutions anticipating an increase in Ethereum prices alongside the introduction of Spot ETFs.

Whether this assumption is correct will become clear in the coming days. However, such movements that reduce the circulating supply (high demand) are expected to have a positive impact on the price in the medium to long term.

Written by burakkesmeci