Sygnum: Ethereum supply tightens, 45% of ETH is locked

According to TheDefiant, Sygnum noted in its Q1 2026 investment outlook that approximately 45% of ETH is currently locked or difficult to sell, and the amount of ETH held by exchanges has decreased by 14.5% this quarter, continuing a downward trend that has persisted for years.

Meanwhile, exchange-traded funds (ETFs) currently hold about 10% of the total ETH supply, while publicly listed companies hold over 6.1 million ETH, accounting for approximately 5% of the circulating supply. The report indicates that a reduction in supply could lead to greater price volatility, but this would only occur if demand increases.