Ethereum There was a brief rebound on Thursday, but the $2,000 price level once again proved to be a formidable resistance zone, negating the bullish move as it retreated towards $1,900. This temporary rally may be related to renewed investor sentiment towards accumulation, which appears to have reached significant levels not seen in recent years.
Ethereum price falls, confidence grows
After weeks of selling pressure, Decline in market conditionspurchase activity and interest in Ethereum, the second largest cryptocurrency asset, accelerated significantly. On-chain data suggests that renewed buying pressure from investors is reaching historic levels.
As outlined in data sharing According to crypto analyst and investor Batman, ETH is experiencing one of the strongest accumulation phases in recent years. ETH has managed to rewrite history despite the continued downward trend in price, making this a pivotal moment for the major altcoin and its future prospects.
The rise in buyer confidence is separated by the decline in value, indicating that long-term participants are cautiously positioning themselves amidst the bearish conditions rather than retreating from the turbulence. The constant flow of funds from investors shows confidence in Ethereum’s long-term plans despite its short-term goals. market pressure.
The current pattern could lay the foundation for the next short-term structural move in altcoins as selling pressure collides with steady accumulation. in Another X postBatman revealed that accumulation is also increasing among newly created wallet addresses. Based on 24 hours of Ethereum flow data, over $490.9 million was moved to newly created wallet addresses.
Interestingly, this notable new capital is 2.4x higher than average, indicating a significant increase in activity today. During the period, Whale Wallet addresses also secured approximately $39.2 million in inflows, 30.7x higher than the average.
Additionally, top P&L wallets saw inflows of $46.9 million, 12.2 times the average, while exchange wallets saw outflows of $56.9 million, which remains a bullish signal. whale accumulation, foreign exchange outflowand a large influx of new wallets all indicate the presence of substantial accumulation activity.
Investors are accumulating more ETH than Bitcoin
While Ethereum is attracting a wave of aggressive accumulation; large holderthe net purchases from these investors currently significantly exceed the amount of Bitcoin purchased. High-net-worth investors increasing their positions in ETH suggests a solid situation for altcoins compared to BTC. Differences in accumulation patterns raise the possibility of capital rotation as major participants in the ETH ecosystem move ahead. possible catalyst.
According to According to CW, a certified author of CryptoQuant, whales are secretly buying large amounts of ETH in volatile market conditions. Interestingly, experts noted that the cohort is particularly focused on positioning in the futures market.
At the time of writing, ETH price was trading at $1,957, down more than 1% in the past 24 hours. Its trading volume turned bearish along with the price, dropping more than 11% in the same period, according to data from CoinMarketCap.
Featured image from Pixabay, chart from Tradingview.com
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