Ethereum Exchange Supply Reaches All-Time Low
Ethereum (ETH) supply on centralized cryptocurrency exchanges is at all-time low levels. According to Glassnode data, the volume of Ethereum on exchanges dipped by 8.8%, reaching the lowest point observed since 2015. This metric refers to the amount of Ethereum stored by holders on exchanges for trading purposes. This quantity has been on a steady decline since July 2025, and the recent crash to current levels has sparked concerns about a potential supply squeeze.
Market Conditions Point Toward Emerging Ethereum Supply Squeeze
Generally, a drop in the volume of an asset on centralized exchanges suggests that holders are unwilling to sell. They are likely holding onto the asset in anticipation of a possible price surge in the market. According to the macro investment research feed, Milk Road, Ethereum holders are moving their assets into other areas, including staking, restaking, collateral loops, and long-term custody. For instance, BitMine, founded by Tom Lee, recently accumulated $150 million worth of Ethereum to increase its portfolio. This development suggests that a supply squeeze might impact the Ethereum market, potentially leading to a positive effect on its price. Milk Road maintained that Ethereum was slipping into one of the tightest supply environments that has not been witnessed before.
Ethereum Price Outlook
Ethereum, like other crypto assets, has been experiencing price fluctuations. Its price has swung between a low of $3,026.47 and an intraday peak of $3,067.66 in the last 24 hours. As of this writing, Ethereum is changing hands at $3,048.81, representing a 0.53% increase within the same period. The coin’s trading volume remains on a significant decline, down by 54.94% to $10.06 billion. This might explain the stagnant price despite the reduced supply on exchanges. However, if the low supply on centralized exchanges persists, this scarcity could trigger a price uptick for Ethereum. The $3,000 support level also needs to hold for ETH to retest higher prices.
Network Upgrades Strengthen Ethereum’s Long-Term Bullish Case
Meanwhile, the recent Fusaka upgrade, which requires Layer-2 solutions like Arbitrum and Base to pay fees in Ethereum, could support its bullish moves. Notably, this has increased the ETH burn rate and reduced selling pressure on the coin. The upgrade is also expected to make the Ethereum network faster and stronger as it processes more data, ultimately helping the network scale.