At present it suggests that there are many Crypto investors are fleeing the centralized exchanges and they preferred to store their coins decentralized. There is one right now Escape from encrypted exchangeswhich has reached a new high level in the last 5 years.
Since the disaster of FTX and other factors like that Shapella update from Ethereum, a lot has changed in the crypto world. Investors prefer self-maintenance of their coins and are more likely to turn their backs on centralized exchanges.
We have already dealt with the subject of FTX and the Shapella update at Ethereum in many articles over the last few weeks and months.
There are currently many reasons why investors do not dare to go to the crypto exchanges and Coins like Ethereum and Bitcoin better to act decentralized and keep yourself.
About 18 million ETH are currently traded on the stock exchanges. That’s about the same 15% of all ETH on the Ethereum blockchain. still vthree years ago, about 30% of all ETH available on major crypto exchanges.
Fewer coins at central exchanges often means rising prices
When coins are withdrawn from the major exchanges, this is often good news for all investors hoping for rising prices. That means there may not be any selling pressure at the moment.
Often investors only store their coins in central exchanges when they want to sell them. However, the withdrawal of coins from the exchanges shows that fewer and fewer investors are currently planning to sell their cryptocurrencies.
Chances are good that new cryptocurrencies will also benefit from it. Finally, rising prices for Bitcoin and Ethereum also pull up the prices of other cryptocurrencies, especially if cryptocurrencies are promising.
— Kaiko (@KaikoData) May 15, 2023
Lately, market makers seem to have a big influence on cryptocurrency prices, in a way that makes many investors unhappy.
Great investors often appear to be knowledgeable in contrast to most other investors.
Although there have been occasional price spikes in Bitcoin up to and above 27,000 in the past few weeks, the two dominant cryptocurrencies have become more calm.
Such an increase in the investor base often leads to an increase in prices.
Ethereum breaks from its dependence on Bitcoin
Although Ethereum has become more isolated from Bitcoin in recent weeks and months and is less dependent, the two largest cryptocurrencies will still be powerful driving forces for prices in the future.
The crypto exchange Coinbase has analyzed in more detail the prices of Bitcoin and ether as well as the correlation with each other and also sees advantages in the price of Bitcoin. Bitcoin is worth buying again.
Bitcoin and Ethereum rising prices are positive for other cryptocurrencies
It is clear that rising prices for Bitcoin and Ethereum are creating prices for other cryptocurrencies as well.
This often shows that crypto presales have an advantage. There are several candidates for new coins whose price may explode during 2023. A notable example of this is the new meme coin Wall Street Memes ($WSM).
Investors trust the core crypto exchanges less
The fall of FTX shows that even large crypto exchanges can falter and even crash. Therefore, comparing crypto exchanges is an important factor.
Major stock exchanges such as Binance and Coinbase are also recording losses in the deposited coins and thus are also suffering from the loss of confidence fueled by FTX.
Cryptocurrencies with potential in 2023
Cryptocurrencies are a highly volatile, unregulated investment product. Your capital is at risk.