Ethereum (ETH), which is the second-largest crypto by market cap, had a good weekend. ETH has climbed 4.31% higher in price in the last 24 hours, bringing it ever closer to a key resistance point of $4,000. The price surge is a result of a swell of optimism around the Ethereum network.
Ethereum Whale Activity – On-Chain Buying signal potential rally
Analysts attribute the recent market surge to an increase in Ethereum accumulation. Spot On Chain data shows that wallets associated with PulseChain or PulseX are aggressively purchasing ETH. They have accumulated 163,295 ETH within just four days. This massive buying pressure of nearly $621,000,000 DAI indicates a solid basis for price increases.
The fact that more than $10 Billion in whale trading volume was recorded over night indicates a significant shift in sentiment from major investors. This large trade volume is viewed as a positive signal. It suggests that whales are accumulating ETH to prepare for a price increase.
Ethereum Investors Thrilled by Profitability and Approaching ATH
Adding to the heat, 94% of ETH accounts are currently profiting. This means a lot of investors have been holding onto their ETH. There is a low pressure to sell, and this could potentially lead to a price rise.
Data from IntoTheBlock(ITB), a crypto analytics platform, shows that at this stage, ETH is at its best level in nearly a year, Bitcoin has clearly surpassed the growth that Bitcoin experienced after its Exchange-Traded Fund was approved.
Source: IntoTheBlock
Ethereum’s excitement is palpable now that the price is approaching its all-time highest (ATH) $4,890. A retest seems possible in the near term, with minimal resistance expected. This is amplified further by the decreasing number of addresses with ETH that are at a break even point or a loss.
Investors are boosted by the Dencum upgrade and ETF speculation
The Ethereum community is excited about the future, beyond the current price movement. Dencum upgrade. This highly anticipated upgrade It is intended to solve scalability problems, reduce transaction costs on layer networks and decongest Ethereum’s network.
A successful Dencum upgrade It is expected that this will improve the user experience significantly and attract new investors. This will boost confidence in the viability of Ethereum’s network on a long-term basis.
Total crypto market capitalization currently stands at $2.5 trillion. Chart: TradingView
The ongoing speculation around a possible Ethereum ETF adds another layer of optimism. The SEC has not yet approved the ETF but the mere possibility of one has boosted investor confidence. A ETF could allow investors to access Ethereum without having to directly manage or own the cryptocurrency. This would potentially lead to a wider investor pool and an increased demand for ETH.
Ether Trajectory Depends on Multiple Factors
There are many factors to consider, even though Ethereum’s outlook is positive. The price of ETH still remains about $1,000 short of its ATH. And the success of Dencum upgrade Approval of an Ethereum ETF and its success are not guaranteed. Researching thoroughly and being cautious are crucial when investing.
Ethereum is looking promising, thanks to the combination of increasing on-chain activities, whale accumulation and a lucrative investor base. The Dencum is a great way to get started. upgrade Ethereum is poised to see a possible price rise in the months ahead, with the prospect of an ETF on the horizon.
Chart from TradingView, Featured image by Pexels
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