Ethereum Profit Streak Signals ATH Breakout For Over 90% Of Investors
Ethereum (ETH) is once again in the news, but this time its good news for buyers. Recent data shows that over 90% of Ethereum users are now making money because the price of the cryptocurrency has risen to impressive levels. According to IntoTheBlock, this upward trend is the best time in five months for people who own ETH to make profits.
Inspired by Bitcoins comeback above $96,000, the token jumped to $3,680, its biggest level since June. While Bitcoin cleared the path, Ethereums momentum is clearly seen since it broke barriers with ease. Though trading 25% below its all-time high (ATH) of $4,890, Ethereums fundamentals and market vibe point to a bright future ahead.
90.8% of $ETH holders are now in profit, the highest since June.
Interestingly, the 9.2% of holders still at a loss hold just 2.8% of the total supply. This suggests that potential sell pressure from this group may have a limited impact as $ETH continues to trend upward. pic.twitter.com/qG4Xgi0Cq3
IntoTheBlock (@intotheblock) November 28, 2024
Whale Confidence And Long-Term Holding
More positive news comes from closer examination of the investment patterns of Ethereum. Only 9.2% of ETH holders are currently losing money, and they hold only 2.8% of the entire token count. This means that the market is unlikely to be much affected by any selling pressure these investors create.
On top of that, Ethereums long-term holder base is also strong. The number of ETH holders holding more than one year has risen to approximately 74%, which signifies confidence in the tokens long-term value. Considering that only 23% of ETH were purchased last year and only 3% last month, most of the investors seem to be holding out for the long run.
Decreasing Supply, Bullish Momentum
Another reason giving a bullish outlook to Ethereum is the declining supply on centralized exchanges. According to analysts, it has continued to decline since last year, reducing ETH on centralized reserves. The more demand there is that outpaces the supply during a bull run, the higher the prices go.
Ethereums recent surge has also been aided by huge inflows into spot ETFs, which have over $90 million. These institutional investments demonstrate rising trust in Ethereums future.
Ethereum: Path To ATH Appears ClearETH is already outperforming the larger crypto market, with a weekly gain of 12%. Its ETH/BTC ratio has risen by 18%, indicating strength relative to Bitcoin. Analysts feel that if Ethereum can retest and surpass the $4,000 resistance, the path to its all-time high would become more convincing.
With 5.92% increased values over the previous day, its price has decreased slightly to $3,610, as of writing. From the indications and markets sentiment, Ethereum has a tendency to rewrite the previous high to further break ground.
Featured image from DALL-E, chart from TradingView
Read more: https://www.newsbtc.com/news/ethereum-profit-streak-signals-ath-breakout-for-over-90-of-investors/
Text source: NewsBTC
