Analysis: Ethereum Held on Exchanges Falls to Lowest Since 2016, Easing Selling Pressure

Ethereum holdings on global cryptocurrency exchanges have fallen to their lowest level in nearly a decade, suggesting selling pressure may be easing, according to a CryptoQuant analysis.

In a report published on November 3, CryptoQuant contributor Amr Taha wrote that Ethereum reserves on global crypto exchanges stood at about 14.5 million ETH as of November 2, the lowest level since 2016.

According to Taha, exchange-held Ethereum peaked at about 35 million ETH in 2020 and has since dropped by roughly 20.5 million ETH, or 58.6%. The amount now left on exchanges is less than 42% of that peak.

The decline was especially pronounced at Binance. Taha wrote that Ethereum holdings on Binance recently fell to 3.08 million ETH from about 4.9 million ETH, the high for 2025. That is similar to levels seen in late 2020.

Taha said the drop in exchange reserves could support Ethereum's price going forward. Lower exchange balances mean less ETH is immediately available for sale in the spot market. That could ease potential selling pressure and create conditions favorable for price gains.

He added that with less Ethereum available for immediate trading on exchanges, upward price pressure could intensify if buying demand holds steady or rebounds.