CryptoOnchain published an analysis on the X platform saying that the Ethereum supply crunch is coming? The BitMine effect appears
Institutional dominance: BitMine reportedly now controls around 3% of the total supply of Ethereum (3.70 million ETH). The net outflow of funds from exchanges in the past 30 days reached $1.60 billion, confirming this massive hoarding trend.
Liquidity continues to dry up: Ethereum reserves on exchanges have fallen sharply, with outflows soaring to a record $3.10 billion on November 23. There are currently 40% more withdrawal addresses than deposit addresses, and circulating inventory is rapidly being transferred to cold wallet storage.
A supply shock is brewing: a record amount of pledged deposits, compounded by the continued absorption of circulating chips by whales such as BitMine, has led to a shrinking market depth. This constitutes a classic supply crunch scenario in which there will be a sharp reduction in the number of tradable sell orders in the market.
Conclusion: The data suggest that the current market is actively hoarding rather than simply holding positions. Any new buying could trigger an explosive rise in prices as tradable supply contracts.
CryptoOnchain: BitMine currently holds around 3% of the total supply of Ethereum, and any new buying could trigger a price spike for ETH
2025-12-05 06:34:57
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