Over the past week, Ethereum (ETH) posted the highest inflows on centralized exchanges (CEX) in the past two months. These major asset moves have suggested a possible drop in the price of ETH.
Data from CoinGecko shows that the second largest cryptocurrency has experienced a slight price drop, losing 2.5% of its value last week. As of this writing, the Ether token is changing hands at $1,892.65, with a negligible 0.2% gain in the last 24 hours.
Ethereum Records $383 Million in ETH in CEX Inflows
According to data from in the block, Ethereum witnessed the largest inflows on centralized exchanges in the past two months. The data analytics platform found that at least $383 million worth of ETH was deposited on these exchanges.
IntoTheBlock also revealed that a significant percentage of CEX inflows were coming from a single address and in a single transaction. This deposit came from an old wallet that accumulated 61,216 ETH during the Ethereum Initial Coin Offering (ICO).
This pre-mine wallet had been dormant for eight years, with its ETH component worth more than $116 million intact. On Wednesday, July 19, this address went live and its Ether token pool was abruptly moved to another address associated with the Kraken exchange.
Data of whale alert shows that several whales transferred a significant amount of Ether tokens to crypto exchanges over the past week. Notably, more than 200,000 Ether tokens have been transferred to Coinbase in separate transactions within this period.
In fact, the movement of massive amounts of ETH to centralized exchanges can indicate impending selling pressure, which can drive the price of the asset lower. However, not every large transfer to an exchange precipitates a war to the bottom.d price movement, as whales might not intend to sell immediately or all at once.
Total ETH Staked Hits All-Time High
The Ethereum network has been experiencing a steady increase in the total amount of ETH staked on the blockchain. According IntoTheBlock datathis figure has reached 52.3 billion dollars, which represents its highest value to date.
The data analytics company also noted that with an increasing amount of ETH staked, the Ethereum blockchain will become even more secure, as there will be a corresponding decrease in the risk of a single entity taking over the network.
It’s worth noting that this increase in engagement activity may be related to the successful release of the Shapella update. The Shapella update brought a new dimension to ETH staking as investors can now lock and unlock their assets at will.
This increased flexibility removed a substantial portion of the risk that has been attributed to holding ETH in the past.
ETHUSD trading at $1,886.82 | Source: ETHUSD daily chart from TradingView
Getty Featured Image, TradingView Chart
