Whales Scoop $1.73B In Ether As Exchange Balances Hit Nine-Year Low

Key Highlights:

16 wallets acquired 431,018 ETH between September 25-27, spending approximately $1.73 billion. Major players include Kraken, Galaxy Digital, BitGo, FalconX, and OKX.
Exchange-held ETH has decreased by 52% since 2016, reaching a 9-year low of about 14.8 million ETH. This shift is attributed to staking contracts and institutional custody.
The recent launch of the first Ethereum staking ETF contributed to reducing exchange balances, affecting market liquidity and potential price movements.
ETH is trading around $4,011, with increased volatility. It briefly fell below $3,980 but remains near the crucial $4,000 support level.
The $3,700-$3,800 range is under scrutiny, as dropping below could trigger significant margin calls and forced selling.
US-listed Ethereum ETFs faced nearly $800 million in outflows this week, their largest recorded redemptions, yet still hold around $26 billion in assets.
Institutional sentiment can rapidly change, indicated by large inflows and outflows affecting market dynamics.
Retail traders are more cautious, but large institutional buys during dips suggest strategic accumulation by some investors.