Ethereum

2024

LONG

Giant

<img width="1199" height="800" src="https://coingape.com/wp-content/uploads/2024/02/ETH-logo-Feb-7-e1707399083601.jpg" class="attachment-full size-full wp-post-image" alt="Ethereum Worth $3.3 Bln Restaked Into EigenLayer, Justin Sun &amp; Puffer Finance Take The Lead" decoding="async" style="float:right; margin:0 0 10px 10px;" srcset="https://coingape.com/wp-content/uploads/2024/02/ETH-logo-Feb-7-e1707399083601.jpg 1199w, https://coingape.com/wp-content/uploads/2024/02/ETH-logo-Feb-7-e1707399083601-300x200.jpg 300w, https://coingape.com/wp-content/uploads/2024/02/ETH-logo-Feb-7-e1707399083601-768x512.jpg 768w, https://coingape.com/wp-content/uploads/2024/02/ETH-logo-Feb-7-e1707399083601-150x100.jpg 150w, https://coingape.com/wp-content/uploads/2024/02/ETH-logo-Feb-7-e1707399083601-272x182.jpg 272w" sizes="(max-width: 1199px) 100vw, 1199px">
Ethereum (ETH), the second-largest cryptocurrency globally, has surged significantly with 3.57% gains in the last 24 hours and eyeing a rally past $3,500. As of press time, the Ethereum price is trading at $3,360 with a market cap of $403 billion. 
<h3 id="ethereum-profit-loss-ratio-peaks">Ethereum Profit/Loss Ratio Peaks</h3> 
As per on-chain data provider Santiment, Ethereum is seeing the highest profit/loss ratio in nearly three months even surpassing the likes of Bitcoin. In the current week, the Ethereum network has observed its most notable proportion of profitable on-chain transfers since November, boasting a ratio of 2.3 to 1 for coins moving at a profit compared to those at a loss. 
Similarly, Bitcoin’s ratio stands relatively high at 1.8 to 1 during this period. This data underscores a trend of increased profitability for transactions on both the Ethereum and Bitcoin networks, suggesting positive sentiment among cryptocurrency holders. 
<figure id="attachment_182954" aria-describedby="caption-attachment-182954" style="width: 100%" class="wp-caption aligncenter">
 <img decoding="async" class="size-full wp-image-182954" src="https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Price-Action.jpeg" alt="" width="2697" height="1812" srcset="https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Price-Action.jpeg 2697w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Price-Action-300x202.jpeg 300w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Price-Action-1224x822.jpeg 1224w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Price-Action-768x516.jpeg 768w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Price-Action-1536x1032.jpeg 1536w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Price-Action-2048x1376.jpeg 2048w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Price-Action-150x101.jpeg 150w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Price-Action-272x182.jpeg 272w" sizes="(max-width: 2697px) 100vw, 2697px">
 <figcaption id="caption-attachment-182954" class="wp-caption-text">
 Courtesy: <a rel="nofollow" href="https://twitter.com/santimentfeed/status/1762628496638304578/photo/1" target="_blank">Santiment</a>
 </figcaption>
</figure> 
The Ethereum (ETH) price rally comes as the blockchain gears up for the <a href="https://coingape.com/ethereum-foundation-affirms-dencun-upgrade-mainnet-launch-timeline/" target="_blank" rel="noopener">Ethereum Dencun upgrade</a> next month. 
<h3 id="eth-price-action-as-traders-turn-bullish">ETH Price Action As Traders Turn Bullish</h3> 
The below chart illustrates a significant decline in the ETH funding rate on February 26, plummeting to as low as 0.02%. Yet, with the market sentiment turning bullish on Tuesday, LONG position holders swiftly propelled the funding rate to 0.06%, marking a staggering 300% increase from the previous day. This resurgence in Ethereum futures traders’ confidence reflects a renewed conviction to push spot prices towards the next milestone, potentially surpassing the $3,500 mark. 
<img decoding="async" class="aligncenter size-full wp-image-182957" src="https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Funding-Rate.png" alt="" width="2796" height="788" srcset="https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Funding-Rate.png 2796w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Funding-Rate-300x85.png 300w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Funding-Rate-1224x345.png 1224w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Funding-Rate-768x216.png 768w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Funding-Rate-1536x433.png 1536w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Funding-Rate-2048x577.png 2048w, https://coingape.com/wp-content/uploads/2024/02/Ethereum-ETH-Funding-Rate-150x42.png 150w" sizes="(max-width: 2796px) 100vw, 2796px"> 
IntoTheBlock’s global in/out of money data, which categorizes existing ETH holders by their entry prices, supports this viewpoint. Currently, with Ethereum trading at $3,250, approximately 80% of current holders find themselves in a profitable position. Given this scenario, many holders may choose to hold onto their ETH rather than sell, thereby fueling the ongoing rally. 
Notably, the data highlights that the 1.03 million addresses that acquired 218,650 ETH at an average price of $3,300 could serve as a significant resistance level to overcome. Nevertheless, if bullish futures traders’ expectations materialize and this crucial resistance level is breached, it could pave the way for a rally above $3,500. 
<figure id="attachment_182958" aria-describedby="caption-attachment-182958" style="width: 100%" class="wp-caption aligncenter">
 <img decoding="async" class="size-full wp-image-182958" src="https://coingape.com/wp-content/uploads/2024/02/ETH-supply-Demand.png" alt="" width="2638" height="1016" srcset="https://coingape.com/wp-content/uploads/2024/02/ETH-supply-Demand.png 2638w, https://coingape.com/wp-content/uploads/2024/02/ETH-supply-Demand-300x116.png 300w, https://coingape.com/wp-content/uploads/2024/02/ETH-supply-Demand-1224x471.png 1224w, https://coingape.com/wp-content/uploads/2024/02/ETH-supply-Demand-768x296.png 768w, https://coingape.com/wp-content/uploads/2024/02/ETH-supply-Demand-1536x592.png 1536w, https://coingape.com/wp-content/uploads/2024/02/ETH-supply-Demand-2048x789.png 2048w, https://coingape.com/wp-content/uploads/2024/02/ETH-supply-Demand-150x58.png 150w" sizes="(max-width: 2638px) 100vw, 2638px">
 <figcaption id="caption-attachment-182958" class="wp-caption-text">
 Courtesy: IntoTheBlock
 </figcaption>
</figure> 
However, should prices dip below $3,000, the current prevalence of extreme leverage positions exposes ETH traders to significant losses, particularly if a wave of margin calls initiates a LONG squeeze. Popular crypto analyst Michael van de Poppe also said that one cannot rule out a 10-20% drop after the current run-up. 
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
 Giant move on <a href="https://twitter.com/hashtag/Ethereum?src=hash&amp;ref_src=twsrc%5Etfw">#Ethereum</a>. 
 It's been rallying from $2,150 to $3,220. 
 To be accurate, having a 10-20% correction after this run would be very normal to expect. 
 I'm still determining where, but if it happens, it's a dip opportunity before Ethereum visits $4,000. <a href="https://t.co/TTGyyQF1bl">pic.twitter.com/TTGyyQF1bl</a> 
 — Michaël van de Poppe (@CryptoMichNL) <a href="https://twitter.com/CryptoMichNL/status/1762563742984749292?ref_src=twsrc%5Etfw">February 27, 2024</a>
</blockquote> 
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
The post <a href="https://coingape.com/ethereum-eth-price-maintains-highest-profit-loss-ratio-among-all-cryptos-whats-next/">Ethereum (ETH) Price Tops Profit/Loss Ratio Among All Cryptos, What’s Next?</a> appeared first on <a href="https://coingape.com">CoinGape</a>.

Ethereum (ETH) Price Tops Profit/Loss Ratio Among All Cryptos, What’s Next?

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