Data Says HODL! People Are Trading Ether More, Bitcoin Less
Exchange balances for ETH and BTC move in opposite directions in a new insight into investor sentiment.
Ether (ETH) is trading at its highest since before the March coronavirus crash, but data suggests that investors have little interest in holding the second-largest cryptocurrency by market capitalization.
Uploading findings using on-chain monitoring resource Glassnode on July 10, one trader noticed that Ether exchange balances remain high, while Bitcoin (BTC) balances have dropped considerably.
BTC, ETH exchange balances diverge
According to the unverified data, since March, ETH balances on exchanges have continued to trend upward overall.
At the same time, BTC has been leaving exchanges en masse over the past three months.
“Ever since the Black Thursday crash, Bitcoin balances on crypto exchanges have been falling quite fast.
On the other hand, Ethereum exchange balances continue to remain relatively stable,” the trader summarized.
The phenomenon could have several implications.
Coins on exchanges are more vulnerable but quicker to trade, suggesting that owners store them there to sell at short notice.
As Cointelegraph reported previously, BTC traders have shown a preference for saving in recent months, rather than selling or trading.
On Ethereum, the network for which Ether is the native token, the current DeFi trend may also be influencing investors.
The decentralized finance sector has sparked a token boom and associated trading, and as ERC-20 tokens on Ethereum, ETH is required for transactions.
ETH would make a suitable “home” asset for DeFi traders given its recent low volatility in the run-up to its fifth birthday.
Read the full topic at
https://cointelegraph.com/news/data-says-hodl-people-are-trading-ethereum-eth-more-bitcoin-less
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Ether (ETH) is trading at its highest since before the March coronavirus crash, but data suggests that investors have little interest in holding the second-largest cryptocurrency by market capitalization.
Uploading findings using on-chain monitoring resource Glassnode on July 10, one trader noticed that Ether exchange balances remain high, while Bitcoin (BTC) balances have dropped considerably.
BTC, ETH exchange balances diverge
According to the unverified data, since March, ETH balances on exchanges have continued to trend upward overall.
At the same time, BTC has been leaving exchanges en masse over the past three months.
“Ever since the Black Thursday crash, Bitcoin balances on crypto exchanges have been falling quite fast.
On the other hand, Ethereum exchange balances continue to remain relatively stable,” the trader summarized.
The phenomenon could have several implications.
Coins on exchanges are more vulnerable but quicker to trade, suggesting that owners store them there to sell at short notice.
As Cointelegraph reported previously, BTC traders have shown a preference for saving in recent months, rather than selling or trading.
On Ethereum, the network for which Ether is the native token, the current DeFi trend may also be influencing investors.
The decentralized finance sector has sparked a token boom and associated trading, and as ERC-20 tokens on Ethereum, ETH is required for transactions.
ETH would make a suitable “home” asset for DeFi traders given its recent low volatility in the run-up to its fifth birthday.
Read the full topic at
https://cointelegraph.com/news/data-says-hodl-people-are-trading-ethereum-eth-more-bitcoin-less
Follow me on
Twitter: https://twitter.com/cryptoexpert20
If you wont me to post your cryptocurrency article on my blog From the link
https://www.fiverr.com/cryptoexpert20/post-your-cryptocurrency-article-on-my-blog
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