Sunday Newsletter

Explore the latest trends, gain valuable insights, and stay informed in the dynamic cryptocurrency ecosystem.

20 October 2024

The amount of Ethereum (ETH) held in accumulation wallets has skyrocketed by 65% since the start of 2024, indicating rising confidence in its long-term value. According to CryptoQuant analyst Burakkesmeci, over 19 million ETH—worth $50.2 billion—is now locked in these wallets, which belong to long-term investors with no prior withdrawals.

ETH Accumulation Sees Significant Growth

Since January 2024, Ethereum accumulation wallets have grown by an impressive 11.5 million ETH. This surge reflects growing interest from both institutional and individual investors, who view ETH as a crucial asset in the future of finance, moving beyond its earlier appeal to just tech enthusiasts.

Spot Ether ETFs Drive Momentum

The launch of spot Ether ETFs in July 2024 has further fueled this accumulation trend. Despite $467.3 million in net outflows since their launch, anticipation of broader adoption continues to bolster confidence. Analysts predict the amount of ETH in accumulation wallets could surpass 20 million by the end of the year.

A Growing Market for Ethereum

This increase comes amid challenges, such as rising Ethereum supply despite high network usage, as noted by Ethereum founder Vitalik Buterin. While traders have voiced concerns over potential market corrections due to rising leveraged positions, the growth in accumulation wallets suggests a long-term bullish outlook for ETH.

With institutional adoption increasing and Ethereum’s financial importance expanding, accumulation wallets are becoming a key indicator for Ethereum’s future trajectory.