© Reuters
GLOBAL – On December 31, 2023, Ethereum reached an important milestone as the number of its long-term holders exceeded that of , demonstrating investors’ strong confidence in the future of Ethereum. This development is part of a downward price trend, but suggests strong belief in Ethereum’s long-term value proposition.
Investors have been actively accumulating Ethereum, as indicated by the notable increase in the supply of cryptocurrency held outside of exchanges. This trend is complemented by an increase in the number of “whale” transactions, which are high-volume transactions typically associated with seasoned investors and institutions. Conversely, the supply of Ethereum on exchanges has decreased, further highlighting the ongoing accumulation phase.
The optimism surrounding Ethereum is partly fueled by expected network improvements and the expansion of Tier 2 platforms. These developments are expected to significantly increase scalability and improve the overall user experience, addressing some of the main concerns that have historically limited the usefulness and performance of Ethereum.
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