17-5-2025 – Ethereum (ETH) has witnessed a significant shift in market dynamics, with its reserves on Binance dwindling from 4.1 million ETH to 3.9 million ETH since mid-April 2025—a reduction of 300,000 ETH. This decline reflects a growing trend among investors to prioritise long-term holding and decentralised protocols, easing the sell-side pressure typically exerted by centralised exchanges. At the time of reporting, ETH was trading at $2,605.85, having risen by 2.77% over the previous 24 hours, a movement that hints at strengthening buyer confidence.
The total exchange reserves for ETH now stand at $18.9 million, marking a subtle daily decrease of 0.78%. While this dip may seem modest, it underscores a cautious approach among investors, many of whom are opting to store their ETH away from centralised platforms. This behaviour aligns with a broader pattern of accumulation observed across major wallets, suggesting a diminished appetite for selling. Meanwhile, Ethereum’s fundamentals remain robust, with 555,880 daily active addresses and 1.42 million transactions recorded, pointing to sustained user engagement and trust in the network’s diverse applications, from DeFi to NFTs.
On-chain data further bolsters Ethereum’s bullish outlook. An impressive 81.07% of holders are currently in profit, with the largest concentration of holders positioned between $2,460 and $2,665—a price range that coincides with a critical resistance zone. The Liquidation Heatmap highlights dense liquidation clusters between $2,600 and $2,665, indicating potential volatility as leveraged positions face pressure. Yet, Ethereum’s steady climb towards this zone signals growing momentum among buyers. Should ETH breach the $2,665 barrier with sufficient volume, a wave of short liquidations could propel the price further, potentially sparking a sharp rally. Traders, however, should remain vigilant, as the price may pause or consolidate briefly before any sustained upward move.
Adding to the network’s evolving dynamics, Ethereum’s gas usage has fallen to 14.09 billion, a notable drop from previous peaks. Far from signalling weakness, this reduction likely reflects enhanced fee efficiency or a temporary lull in high-volume activity. Lower gas costs could, in fact, broaden participation across Ethereum’s ecosystem, making DeFi and NFT platforms more accessible to users and fostering greater network engagement. With declining exchange reserves, robust user activity, and a high percentage of profitable holders, Ethereum appears structurally poised for growth. The $2,665 resistance remains the pivotal threshold to watch—if bulls can overcome it with conviction, Ethereum may well embark on its next significant rally, reaching levels not seen in recent months.
