Ethereum

bullish

Bitcoin

Daily

<h2 id="key-points">Key Points</h2>
<ul>
 <li>Ethereum whales are accumulating tokens, indicating a potential supply squeeze and reduced selling pressure.</li>
 <li>Increasing daily transactions and interest from short-term holders suggest Ethereum’s next bullish phase is imminent.</li>
</ul>
<h2 id="ethereum-set-to-attract-significant-capital-inflows">Ethereum Set to Attract Significant Capital Inflows</h2>
<p>Ethereum (ETH) is expected to be the next cryptocurrency to draw substantial capital inflows, as per a study by blockchain intelligence platform IntoTheBlock.</p>
<p>Despite not matching the recent gains of Bitcoin (BTC), which recently hit a record high of $99,261.30, Ethereum’s price is at $3,365.66, with a 24-hour trading volume exceeding $55 billion.</p>
<p>Ethereum could be on the brink of a bullish breakout, with certain metrics providing insight into its potential trajectory.</p>
<h2 id="growth-in-daily-transactions-and-whale-activity">Growth in Daily Transactions and Whale Activity</h2>
<p>The Ethereum network has seen a considerable increase in the number of transactions in recent months. Data from IntoTheBlock indicates that daily transactions have grown from 1.1 million to 1.22 million in the past three months.</p>
<p>This steady growth implies increased Ethereum network usage, potentially leading to more significant price activity.</p>
<p>Whale activity is another key indicator being tracked. Holders of at least 0.1% of Ethereum’s circulating supply are demonstrating a positive net flow, indicating their confidence in the asset.</p>
<p>This trend suggests accumulation by large investors, which has historically been associated with upward price movements.</p>
<p>Reduced selling pressure from these large holders suggests they may be anticipating further gains, a sign of optimism among institutional and high-net-worth investors who often influence significant market trends.</p>
<h2 id="short-term-holders-and-exchange-flows">Short-Term Holders and Exchange Flows</h2>
<p>Short-term Ethereum holders, those who have held the asset for less than a month, are also being monitored closely. An increase in these holders indicates renewed interest from retail investors.</p>
<p>Their activity could contribute to a bullish phase for Ethereum, especially if coupled with the ongoing confidence displayed by larger holders.</p>
<p>Another crucial metric is the average holding time of transacted coins. The holding time has increased to 11 months, reflecting reduced selling activity among Ethereum users.</p>
<p>This trend points to a supply squeeze, with fewer tokens being circulated in the market. A reduced willingness to sell often supports price stability and can create conditions for an upward price trajectory.</p>
<p>The movement of Ethereum tokens to and from exchanges is also being tracked as a potential signal of upcoming price action. A decrease in exchange inflows typically indicates accumulation, as investors move their holdings to private wallets rather than keeping them on exchanges for potential selling.</p>
<p>Ethereum’s exchange inflows remain low, suggesting that holders are choosing to hold rather than sell. This accumulation behavior aligns with expectations of a price increase in the near term, as demand may outpace supply.</p>

Ethereum Bull Run Likely: 5 Important Metrics to Look Out For

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CoinEagle.com

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