- ETH exchange outflows totaled $4 billion in Q1 2024
- MVRV ratio suggested that the coin is trading slightly below realized value
according to data IntoTheBlock, released by Ethereum [ETH] Outflows from crypto exchanges totaled $4 billion in the first quarter of this year. This represents a sharp increase in coin accumulation by market participants over a 90-day period, despite the 10% decline in ETH's value after peaking at $4,065 on March 11th.
From March 4th to March 19th, the altcoin rose above $3,500 and towards $4,000, triggering a series of declines. This contributed to an increase in exchange reserves, with the year-to-date (year-to-date) coin reserve assessment revealing a 5% decrease.
This decrease indicates that ETH accumulation significantly exceeded distribution during the quarter.
Source: CryptoQuant
ETH on-chain in Q1
According to , between January and March, the number of ETH wallet addresses holding between 100 and 100,000 coins decreased by 2%. Santimento. This highlighted the decline in ETH holdings by a group of investors known as market movers.
At the time of writing, 45,623 wallet addresses held amounts ranging from 100 to 100,000 ETH. These addresses currently hold 36% of the circulating supply of ETH.
Conversely, the number of Ebi addresses holding between 0 and 100 ETH coins increased during the period studied. As of March 31, that number was 118.25 million, an increase of 6% during the first quarter of this year. At the time of writing, this category of ETH holders controlled 10% of the coin's supply.
Also, as ETH price soared above $3500 in Q1, the market value to realized value (MVRV) ratio skyrocketed.
read ethereum [ETH] Price prediction for 2024-2025
This indicator measures whether an asset is overvalued or undervalued. If the ratio is high and trending upward, it indicates that the market value of the asset is greater than its realized value. When this happens, most asset holders benefit.
Conversely, if an asset's MVRV ratio decreases, the asset is considered undervalued relative to its realized value. Investors who choose to sell their holdings at this point in the market cycle often do so at a loss.
ETH price rose to $4,000 on March 11th, and the MVRV ratio reached a year-to-date high of 138.38%.
Source: Santiment
After the price fell from its peak, ETH's MVRV ratio also declined, but ended the quarter with a value of 107%. At the time of writing, it was below 100%, and ETH's MVRV ratio showed that its price was slightly below the average price when all coins were last moved on-chain.
