Almost 97% of All Ether Holders Are Now in the Green. What Next?
Ether's (ETH) recent rally has pushed a vast majority of its addresses into profit, a development that could slow its ascent.
According to analytics firm Sentora, 97% of ether addresses are now "in-the-money." In other words, the average acquisition costs of these addresses is lower than ether's going market rate of $4,225.
This high profitability figure suggests that the current price rally could run into a significant increase in the sell-side pressure, a dynamic that could slow the price ascent.
According to data by Glassnode, profit-taking is already happening. ETH profit realization, measured by a seven-day simple moving average, is ramping up again, with the tally climbing to $553 million per day. The profit taking peaked a $771 million per day in July.
Further analysis reveals a shift in the source of this selling. While long-term holders, or those holding coins for over 155 days, are realizing profits at levels consistent with the peak in December 2024, it is now short-term investors who are driving the current wave of profit-taking.
Read: Ether to $4.4K? This Hidden Signal Suggests a Possible Quick Fire Rally
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Silver Price Forecast: XAG/USD rebounds to near $56.00 as oil prices, US Dollar decline
GMO executive: Oversupply of stocks and slowdown in AI infrastructure will jointly trigger this round of the AI bubble
GMO executive Inker warns that the largest IPO wave in history—SpaceX, OpenAI, and Anthropic combined—will inject an additional supply of shares equivalent to 6% to 7.5% of the U.S. stock market capitalization, far exceeding the historical record set during the peak of the internet bubble. He points out that if this is combined with the turning point of AI computing power shifting from scarcity to surplus, the market decline could reach 35% to 50%.
Crypto prices
More
