Ethereum’s withdrawals are rising amid price drop
The number of ethereum (ETH) withdrawals from exchanges has constantly risen over the past week as the asset’s price plunges from local highs.
According to data provided by crypto.news, the ETH price dropped by 3% in the past 24 hours. Ethereum is trading at $1,850 at the time of writing. The second-largest cryptocurrency is also down by over 8% from its local high of $2,008 on May 6.
Moreover, the number of ethereum withdrawals from exchanges reached roughly 4,405, marking a 14-month high last seen in March 2022, according to data provided by Glassnode.
Per the tweet, the same behavior was seen in December last year, when ETH was trading at around $1,250.
On the other hand, Glassnode data also shows that the amount of ETH supply active between one and two years on a one-day median average has reached over 41,090,025 coins, marking a new all-time high (ATH).
According to a crypto.news report on May 7, the number of ETH deposits to centralized exchanges (CEXs) witnessed a sudden spike, triggering a short selling pressure on the platforms.
Furthermore, despite the asset’s price drop, the fees on the Ethereum blockchain rose to a one-year high of around 260 gwei on May 5. According to data provided by ultra sound money, the fees on the Ethereum network are down by 63% from the local top and stand at 95 gwei at the time of writing.