Ethereum price prediction that exchange supply will shrink by 220,000 ETH

Ethereum Price Tests Major Demand Zone as Above $220,000 $ETH Off the exchange, liquid supplies tighten during a sharp market decline.

Ethereum is trading at $1,975 at the time of writing, down 4% in the past 24 hours. Broader trends remain under pressure. $ETH It has fallen 12% in the past seven days and 37% in the last month, and is currently down 61% from its August 2025 high of $4,946.

Spot trading volume was $22 billion, down 11.30% from the previous day. On the derivatives side, futures trading volume fell 14% to $47 billion and open interest fell 5% to $23 billion, according to Coinglass data.

This combination suggests that traders are closing positions rather than actively adding new leverage.

220K $ETH Leaving exchanges as long-term wallets grow

While prices are struggling, on-chain behavior tells a different story.

According to a February 10 analysis by CryptoQuant contributor Arab Chain, more than 220,000 Ethereum ($ETH) has been withdrawn from exchanges in recent days, marking the largest net outflow since October. On February 5th, Binance alone recorded around 158,000 $ETH The daily net outflow was the highest since August last year.

Large withdrawals from exchanges typically relieve immediate seller-side pressure. when $ETH Once they are moved to a personal wallet or long-term storage location, they are no longer accessible for quick liquidation.

This does not guarantee an upside, but it does change the supply dynamics. When demand stabilizes, price responses can be amplified as volatility narrows.

You may also like: bitmine $ETH The company purchased $83 million of Ethereum in one day, bringing its holdings to 4.3 million.

Additional data from analyst_OnChain shows that “accumulated addresses” (defined as wallets that have never recorded an outflow) hold at least 100 $ETHnot linked to any exchange or miner – currently manages 27 million $ETHor about 23% of the circulating supply.

Historically, Ethereum has only traded below the realized price of these accumulated addresses twice in nine years. Since the all-time low in 2025 and January 2026. This situation suggests that long-term holders are unlikely to sell near current levels.

Ethereum Price Prediction: Can it sustain $1,850?

With lower highs and lower lows, Ethereum is still clearly trending lower. A recent break below the $3,200-$3,300 range has increased selling pressure, pushing the price closer to the $1,850 support zone.

During the decline, the 20-period Bollinger Bands widened significantly, suggesting increased volatility.

As is often the case with significant declines, the price briefly touched the lows around $1,690. The middle band, currently located at $2,490, is acting as resistance, while the upper band is located near $3,290.

The Relative Strength Index has fallen below 30, entering oversold territory, and is currently hovering around 30-32. Although the pace of decline has slowed, the momentum is weak and there is still no clear bullish deviation.

If the support at $1,850 holds, Ethereum could stabilize and attempt a rebound towards $2,000-$2,100. A more sustained recovery would require a break above $2,490 and a retrieval of the middle band, indicating a potential trend change. For that to happen, the RSI needs to rise above 40-45 and the volume needs to expand on the green candlestick.

If $1,850 fails, downside risk increases quickly. A break below that level could expose $1,750, after which the lower end of the Bollinger Band could be around $1,690. A continued decline in open interest and weak spot volume would strengthen the bearish continuation scenario.

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