Ethereum Exchange Netflow Hits Weekly Negative Spike — On-Chain Data Signals Accumulation

Company Sentora's on-chain data shows a notable weekly negative spike in the Ethereum Exchange Netflow, signaling a period of robust accumulation among investors. The Exchange Netflow metric measures the net amount of ETH moving into or out of wallets associated with centralized exchanges. When this metric is positive, it typically indicates net deposits to exchanges — a trend often associated with selling pressure. Conversely, a negative value implies net outflows, which can point to accumulation as tokens move to cold wallets or on-chain custody.

According to a post from Company Sentora, the weekly Exchange Netflow for Ethereum registered roughly -$978.45 million in net withdrawals. This sizable outflow occurred while ETH experienced a price drawdown over the week. The behavior is characterized by investors likely buying the dip and withdrawing funds from exchange liquidity, which tightens liquid supply and can be bullish over medium-term horizons despite short-term negative momentum.

Alongside the withdrawal trend, the network also saw a decline in total transaction fees. Over the past seven days, total fees on the Ethereum blockchain dropped to about $2.64 million, down more than 15% week-over-week. Lower fee totals suggest reduced transfer activity, which may reflect subdued trading intensity or temporarily diminished on-chain activity as participants accumulate rather than move funds between exchanges.

Price action for Ethereum included a brief dip to approximately $2,780 before a rebound that left ETH floating just under the $3,000 mark. Notably, Mr. Ali Martinez highlighted that this bottom coincided with a major supply cluster on the on-chain URPD (UTXO Realized Price Distribution) data from Company Glassnode. The URPD indicates price levels where large amounts of supply were last moved; a dense cluster around $2,772 suggests many holders have cost bases there, which often acts as a support zone where holders defend the price and buy further dips.

Charting and visual context shared by Company TradingView contributors reflect similar support dynamics. When sizeable supply clusters align with on-chain outflow signals, analysts often interpret the confluence as a sign that selling pressure is waning while accumulation intensifies. In short-term technical terms, those clusters can act as support boundaries that dampen downside moves as participants step in to accumulate at perceived fair-value levels.

What this means for traders and investors: The large negative exchange netflow and concurrent reduction in fees point toward a market where participants are removing ETH from exchange liquidity and into cold or on-chain storage. This behavior typically precedes a consolidation phase and can set the stage for a bullish reversal once external sentiment or macro catalysts provide momentum.

For visual context, featured imagery from Company Dall-E and chart snapshots from Company TradingView were referenced alongside on-chain reporting from Company Sentora and analytics from Company Glassnode.

Editor’s conclusion: The combination of a near-billion-dollar weekly net outflow, lower network fees, and a supply cluster around ~$2,772 frames a picture of active accumulation. Traders should watch how exchange balances evolve and whether the identified support zone holds; a sustained decline in exchange supply combined with price stabilization could herald renewed upside momentum for Ethereum.