Ethereum Widens Lead in Wallets as Bitcoin Exchange Supply Shrinks
Ethereum now has roughly 168 million non-empty wallets — about three times Bitcoin’s ~57.6 million — driven by DeFi, NFTs, dApps, Layer‑2 adoption and post-upgrade improvements (eg, Dencun). On-chain trackers (Santiment) recorded spikes in new ETH wallet creation in December, signaling continued user inflows despite sideways price action. Meanwhile Bitcoin shows accumulation: Glassnode reports exchange reserves falling from ~2.98M to ~2.94M BTC in recent weeks, indicating reduced immediate selling pressure and stronger holder conviction. The ETH/BTC pair attempted rallies in early December but failed to sustain gains; ETH has struggled to outperform BTC short‑term. Key metrics for traders: Ethereum wallets (non-empty and new addresses), ETH/BTC relative strength, Layer‑2 activity, upcoming Ethereum upgrades, and Bitcoin exchange reserves/flows. Primary keywords: Ethereum wallets, Bitcoin exchange supply, ETH/BTC, on-chain adoption. Traders should watch exchange flows and ETH active addresses — rising ETH adoption and Layer‑2 activity support longer-term ETH bullish case if capital follows, while continued BTC outflows may tighten supply and underpin BTC price stability or rallies in the near term.
Neutral
The combined reporting points to two offsetting on-chain narratives. For Ethereum, a clear bullish fundamental is rising user adoption: non-empty wallets and December spikes in new addresses, plus Layer‑2 uptake and protocol upgrades, improve long-term demand fundamentals for ETH. That supports a longer-term bullish thesis if capital rotates from BTC or new capital arrives. For Bitcoin, declining exchange reserves indicate accumulation and reduced selling pressure — a short‑term supply-tightening bullish factor for BTC. However, price impact is ambiguous for each asset in the near term: ETH’s stronger user metrics have not yet led to sustained outperformance versus BTC (ETH/BTC rallies were short‑lived), while BTC accumulation can stabilize price but doesn’t guarantee a large rally absent fresh buyers. Therefore the immediate market impact is neutral overall: ETH fundamentals look constructive for medium/long term, BTC shows supply-side support short term. Traders should monitor exchange flows, ETH active addresses and ETH/BTC momentum for catalysts that could tilt the balance toward bullish for either asset.