The largest Altcoin Ethereum (ETH) rose to $2,800 due to the rise experienced in the last 24 hours. The market expects ETH to break and surpass the $3,000 level, but the analytics company has evaluated the recent rise in ETH.
Therefore, Analytics Firm Matrixport said that Ethereum’s recent meetings are not fundamental, but by utilization.
In the latest analysis from X Account, Matrixport highlighted that Ethereum’s outflow is driven by a leveraged trading market, not a spot market.
Analysts said ETH’s funding rate rose to 13.7%, the highest level since February, and this level is generally a sign of bullishness and attracts inflows of ETH ETFs by mobilizing institutional investors.
More importantly, the open interest in ETH futures is approaching its peak in December 2024. Analysts suggest that leveraged vice, not spot buyers, is leading the ETH rally.
“Current Ethereum Rally is based on leveraged future transactions, not spot transactions.
“Ethereum Open Interest (OI) is the highest ever since last December. Ethereum’s funding rate has also increased to 13.7%, the highest since February.”
Matrixport analysts have recently noticed a sharp increase in ETH call options. At this point, an analyst comparing Ethereum to Bitcoin said that ETH is driven by leveraged markets rather than spot demand, but Bitcoin continues to be driven primarily by spot demand.
*This is not investment advice.
