Dormant Ethereum Coins Spring to Life: A Key Detail at a Four-Month High

An indicator tracking the movement of long-dormant coins on Ethereum hit a four-month high, while the limited change in ETH balances on exchanges raised questions about whether the activity was turning into selling.

According to Santiment data, the “age consumed” indicator on Ethereum reached 580 million token-days on September 30. That level was about 9 times the weekday average for September and the highest since June 2.

The indicator accounts for both the amount of coins moved and how long they had been inactive. As a result, the movement of ETH that has been dormant for a long time can cause a sharp spike in the reading.

Old coins moved, but exchange balances did not rise at the same pace

On the same day, the amount of ETH on exchanges increased by about 18,000 ETH. Given that the total amount held on exchanges was approximately 5.9 million ETH, this change represented about 0.3 percent of the existing balance. Exchange balances then declined the following day.

Thus, the notable activity among long-dormant coins was not matched by a comparable increase in exchange balances. This difference is the key detail highlighted by Santiment.

The picture was different during the major move in June

On June 2, when the previous higher reading was recorded, age consumed reached 770 million token-days. The amount of ETH on exchanges increased by more than 140,000 that day. In contrast, the increase on exchanges during the late-September spike was much more limited.

Santiment reported that it has not yet determined who owns the ETH that moved. It noted that similar spikes in the past have been associated not only with investor selling but also with transfers between wallets. Therefore, the current movement alone does not indicate that a major wave of selling has begun.