Ethereum holders shorting ETH in bull market should read this first
- Ethereum addresses with a non-zero balance rise to reach an all-time high.
- The king alt’s percent supply in profit also crossed over the 60 mark.
Over the years, there has been a growth in Ethereum [ETH] addresses, and the most recent merging has further stoked curiosity. While the price of Ethereum declined for the majority of the previous year, one statistic was increasing and just reached an all-time high.
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Positive addresses surge in number
Throughout the years, the number of Ethereum addresses has grown dramatically. Glassnode reports that the current number of addresses exceeds 92 million, a new record. More significantly, though, is the rising trend in the total number of addresses where the balance is anything other than zero.
The “number of addresses with a Non-Zero balance” measures the proportion of all addresses on the blockchain with a positive value, indicating that they have at least some Ether (ETH).
Investors are beginning to liquidate their holdings and exit the market when this statistic drops in value. Following a steep decline in cryptocurrency prices, this pattern may become apparent.
As the indicator rises, however, it suggests that new investors are filling their wallets. The move might be signaling the beginning of a bull market.
Several variables may be responsible for the recent surge in address activity, but two stand out as particularly plausible explanations. For the greater part of the past year, the price of Ethereum (ETH) has been declining.
New and seasoned investors could increase their holdings or enter the market. In addition, ETH now had a new utility thanks to the Ethereum merge last year. Following the merge, a new type of investor was created, thanks to the staking feature.
Percent supply in profit increases
Looking at another important indicator could provide further information about the state of Ethereum (ETH), given the metric’s accumulation trend.
According to CoinMarketCap, the circulating supply of Ethereum was over 122 million. More than 50% of the supply, as measured by the percent supply in profit, was profitable. The percent supply in profit was just over 68% as of the time of writing.
ETH price is in decline, but…
As of this writing, the daily trading price of Ethereum was around $1567. A decline in value was also seen within the time frame that was analyzed. Its value had dropped by almost 2%, bringing the total drop in the previous 48 hours to roughly 3%.
Realistic or not, here’s ETH market cap in BTC’s terms
The same-period analysis of the Relative Strength Index revealed that the market was now in a downturn. With a further price decline, the RSI, which was at 60, might decline further. But according to the RSI line, it was still in a bull trend despite the decline.
Read More: Ethereum holders shorting ETH in bull market should read this first
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