Posted:
- Ethereum’s stock market supply fell.
- Demand on the derivatives market was high because the financing interest rate turned green.
After months of lower volatility, top cryptos are loving Ethereum [ETH] a trend change may occur. This possibility seemed likely as buying pressure on ETH increased. If the increase in accumulation starts to show its effects, the king of altcoins could soon reach the $1,800 mark again.
Read Ethereums [ETH] Price prediction 2023-24
Buying pressure on Ethereum is high
Santiment’s September 15 tweet revealed an optimistic development that indicated an increase in crypto market volatility. Ethereum supply reportedly fell as traders seemed satisfied with their holdings.
The above development was accompanied by a rise in Tether’s [USDT] scholarship offers. This was a positive outcome, as an increase in Tether’s supply could mean investors could further increase accumulation.
???? #Bitcoin‘S & #Ethereum‘s currency supply has fallen further as traders appear satisfied #hodling. And the even better news is that #Tether returns to the stock markets, now at the highest level since March. This indicates more future purchasing interest. https://t.co/j5aviy3b5F pic.twitter.com/22b90022aB
— Santiment (@santimentfeed) September 15, 2023
A closer look at ETHThe on-chain performance suggested that investors were already stockpiling the token in hopes of a price increase in the near future. According to CryptoQuantboth ETH’s foreign exchange reserves and net deposits on exchanges fell.
Furthermore, Ethereum’s supply outside the exchanges changed the supply on the exchanges. The supply of top addresses also increased, indicating that the whales were buying the token.
Source: Santiment
Ethereum investors can expect this
Checking Ethereum’s stats also revealed a few other bullish signals. For example, this past week, Ethereum’s funding rate turned green, meaning it was in high demand in the derivatives market.
Positive sentiment around the token also remained relatively high and the MVRV ratio improved, indicating a possible price increase.
Source: Santiment
While the metrics looked bullish, a look at ETH’s daily chart painted a different picture of what the token’s near-term future could look like. Most market indicators remained bearish on the king of altcoins, suggesting its price could fall further.
The Chaikin Money Flow (CMF) and the Money Flow Index (MFI) registered a decline. Moreover, ETHThe Relative Strength Index (RSI) rested below the neutral level of 50.
Source: TradingView
Is your portfolio green? look at the ETH profit calculator
According to the Bollinger Bands, Ethereum’s price was in a less volatile zone, reducing the chance of a price increase in the near future. However, one indicator still remained in favor of the buyers. ETH‘s MACD indicated that the bulls were still controlling the market.
According to CoinMarketCapETH is up almost 0.2% in the past 24 hours. At the time of writing, it was trading at $1,635.63 with a market cap of over $196 billion.