[Bitui] Recent dives into Glassnode data revealed an interesting phenomenon—the ETH reserves on centralized exchanges have dropped to 8.8%, which is basically the lowest level since 2015.
Even more striking, from the beginning of July until now, ETH on exchanges has evaporated by 43%. This timing aligns perfectly with the pace at which Digital Asset Treasuries (DAT) started buying aggressively. For comparison, BTC’s share on exchanges is still at 14.7%, obviously much "richer" than ETH.
Where did all this ETH go? The answer is actually quite obvious: staking, restaking, Layer2 activity, DAT purchases, collateral cycles, long-term custody… all scenarios where ETH isn’t easily sold. In other words, the amount of freely circulating ETH on the market is quietly shrinking.
Market sentiment is indeed pretty bad right now, but sentiment is sentiment—supply is the hard truth. The supply of ETH is