* Binance’s Ethereum reserves have been on a steady decline since April 14, 2025, dropping from 4.1M ETH to 3.9M ETH by May 14, 2025.
* Binance’s Ethereum (ETH) reserves have decreased by ~300,000 ETH since mid-April 2025.
* The exchange’s ETH balance fell from 4.1M to 3.9M ETH in about a month.
Possible Reasons Behind the Decline:
1. Shift Toward Self-Custody (HODLing)
Invetors may be moving ETH to cold wallets or DeFi protocols, reducing available supply on exchanges.
2. Institutional Accumulation Large players might be withdrawing ETH for OTC trades, private investments, or staking, reducing exchange supply without direct market selling.
Market Implications:
* Lower exchange supply = reduced sell pressure.
* If demand remains steady, ETH’s price could see upward momentum due to scarcity on exchanges.
Conclusion
The 300,000 ETH decline in Binance’s reserves suggests a notable shift in investor behavior—possibly toward long-term holding, staking, or institutional accumulation.
Although this may alleviate immediate selling pressure, traders should closely observe this trend and its interaction with overall market demand.
Written by Amr Taha
