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    ETH held in accumulation wallets jumps 65% since the start of 2024

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    As of 2024, Ether valued at $50 billion is stored in accumulation wallets, meaning the cryptocurrency is held by long-term investors. This represents a 65% increase since January of the same year, according to crypto expert Tool Burakkesmeci. The surge in holdings is attributed largely to July’s launch of Spot Ether ETFs, which even major institutions and ordinary people view as crucial for future finance. Despite high network use and increasing supply, Ethereum futures crossed a new high of 5 million ETH, leading to fears of a price drop since leveraged positions often signal future price corrections.

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    Right now, there’s about $50 billion of Ether tucked away in accumulation wallets. This represents a 65% increase since the start of 2024, says a crypto expert.

    CryptoQuant’s Burakkesmeci noted on October 18, 2024 that the total Ethereum in accumulation addresses exceeded 19 million. Accumulation addresses are basically wallets owned by long-term investors who aren’t making regular withdrawals.

    Doing the math with Ether’s current trading price of $2,645, we’ve got an estimated $50.2 billion kept in accumulation addresses. The same analyst pointed out that since January, the amount of Ethereum in these wallets grew by 65% – there were around 11.5 million ETH back then.

    What’s more interesting? Burakkesmeci thinks the total ETH in these wallets could surpass 20 million by the end of 2024. This, according to him, is largely due to the waves made by the launch of Spot Ether ETFs this July.

    As he put it, this isn’t just for tech-nerds anymore. Even big institutions and ordinary people see this as an essential part of tomorrow’s finance.

    Ever since their launch on July 23, Spot Ether ETFs have seen net outflows of $467.3 million, based on data from Farside.

    There’s been a bit of buzz around Ethereum since mid-October. Despite high network usage, its supply continues to go up, causing some disappointment among investors. However, Ethereum founder Vitalik Buterin thinks that improving transaction times might be a solution.

    On a related note, the total Ether futures market crossed 5 million ETH, a first, and a 12% increase from just four weeks ago. This seemed to raise some eyebrows among traders, stirring up fears of a potential price drop. It seems a jump in leveraged ETH positions often signals severe price corrections down the road.

    Source: Cointelegraph

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