Crypto Exchanges Lose $908 Million Ethereum in Surprising Twist

Recent statistics from blockchain analytics start-up IntoTheBlock on Ethereum, the second-largest cryptocurrency by market value, reveal a surprising reality.

IntoTheBlock routinely provides Ethereum and Bitcoin network statistics toward the week's close, as it did today.

According to its tweet, $906 million $ETH exited exchanges this week, marking the eighth week of net outflows for the second-largest cryptocurrency asset. According to a graphic shared, total fees for the $ETH network increased by 43.56% to $108.3 million.

Ethereum has seen a significant wave of outflows from exchanges in recent weeks, demonstrating optimistic sentiment among investors. This suggests that more $ETH is moving out of exchanges than into them, implying that investors are holding onto their coins by moving them to cold storage rather than selling them.

Outflows of $ETH from exchanges may signal a positive outlook for the price of the cryptocurrency, as it implies lower selling pressure and higher scarcity. Ethereum has gained 105% in one year, reaching a high of $3521 on Feb. 29.

$ETH price action

On Feb. 25, Ethereum broke above the $3,030 resistance, signaling the start of the next leg of the uptrend. The rally gained traction, with highs of $3,521 reached in Thursday's trading session.

The upward-sloping moving averages show that bulls are in control, but the RSI's overbought zone suggests that a slight pullback or consolidation is probable. At the time of writing, $ETH was down 1.05% in the last 24 hours to $3,447.

That being stated, the first indication of weakness will be a break and close below 2,823. This suggests aggressive profit booking by traders. $ETH could then fall to $2,717, and then to the daily MA 50 of $2,617.

On the other hand, $ETH might target the $4,000 level next if a sustained close above the current $3,521 barrier is achieved