Although September started on a positive note, recent data shows that Ethereum Reserves Cryptocurrency exchange rates have seen a significant increase, raising questions about a potential impact on the market.
The rise in the price of Ethereum on exchanges is seen as a change in investor sentiment, with some traders hoping to profit from price fluctuations or prepare for further volatility. This rise comes in light of growing concerns about the formation of a death cross.
Ethereum is flowing into exchanges on a massive scale
Market expert and enthusiast, Shayan, He pointed out Evolving in his latest research on the leading on-chain analytics provider platform, Crypto QuantThe increase indicates that more Ethereum owners are moving their holdings to exchanges, perhaps in anticipation of selling, given the current state of the market.
Shayan highlighted this development while aiming to address a pressing question about whether the ETH market is in an accumulation or distribution phase, due to the significant decline in the price of the crypto asset over the past few weeks. “The Ethereum Exchange Reserve metric, which tracks the amount of ETH held in exchange wallets, provides valuable insights into this question,” he said.
According to the expert, the gauge showed an upward trend from June to August, indicating a distribution phase that adds to the current downward trend. EthereumHe noted that the reserve gauge is rising strongly again after the recent fatal crossover, where the 100-day moving average crossed below the 200-day moving average, suggesting another distribution phase could be on the horizon.
While Ethereum Shayan noted that reserves on exchanges continue to grow, and there is a greater chance of demand falling. This development could lead to further price declines in the coming days.
However, the crypto expert believes that it is also important to consider the state of the futures market, as this is an important factor in determining price movements and should be carefully examined before making any firm judgments.
ETH attracts positive sentiment
Today, Ethereum, the world’s second-largest cryptocurrency by market cap, is showing positive price action alongside other prominent crypto assets such as Bitcoin and SolanaThe recent move in ETH appears to be driven by the general optimism in the market, which appears to have seen a slight recovery.
Currently, ETH has recovered to $2,519 after falling to $2,400 the previous day. It has attracted a price increase of more than 3% in the past day and is showing signs of attracting more gains. Investors Cryptocurrencies appear to be gradually making a comeback as the market cap of crypto assets has risen by 3.33% in the last 24 hours, valued at around $303 billion.
Featured image by iStock, chart by Tradingview.com
Comments are closed, but trackbacks and pingbacks are open.