Ethereum & Bitcoin Exchange Balances Plummet, On-Chain Funds Are Brewing Major Movements
Two key on-chain data points are ringing the bell for a "trend change":
The proportion of Ethereum held on exchanges has dropped below 4.9% for the first time, setting a new historical low.
Bitcoin has also fallen to 7.1%, the lowest level since November 2018.
This is not a technical indicator, nor a candlestick pattern, but a true reflection of on-chain behavior.
What are the holders doing?
They are transferring coins out of exchanges, cold-storing, observing, and waiting for a breakout point.
Supply is quietly tightening, and liquidity is becoming increasingly scarce, which is a typical prelude to a volatile market.
Is the next move up or down? It's not the candlesticks that will decide, but the "action takers" on-chain have already provided the answer.
