Ethereum Exchange Reserves Decline to 2025 Lows Amid Rising Holding Sentiment and Demand

Key Points

1. Ethereum exchange reserves fell from 20.2 million ETH in March to 18.7 million ETH by August 2025, coinciding with a price increase from $1,750 to $3,700.

2. On-chain data shows 75% of ETH holders have strong conviction, and 82% are currently in profit, with whales controlling 55% of the supply.

3. Recent netflows indicate $460.47 million worth of ETH withdrawn from exchanges, while transaction volumes remain robust at $79.12 billion.

4. The decline in exchange reserves suggests reduced selling pressure, supporting Ethereum's price rally and market strength.

5. Ethereum maintains a strong correlation with Bitcoin, though it also exhibits independent growth potential.