Regret Not Chasing After Ethereum's Plunge! HODL Wallet Accumulation Lays the Groundwork for Future Upsurge

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Despite a general decline in the crypto market over the past week, Ethereum (ETH) has seen a price correction of over 19.5%, finding support around $3,100, with only a slight rebound recently. However, its long-term outlook remains bullish. In particular, the growth of Ethereum HODL wallets suggests a potential strong rise in the future.

Significant Increase in ETH HODL Addresses:

According to a report by CryptoQuant analyst MAC_D, from August to December, the balance of cumulative addresses (HODL wallets) for Ethereum increased by 60%. The share of ETH supply in these wallets rose from 10% to 16%, representing 19.4 million ETH out of 120 million ETH. HODL addresses are typically seen as long-term investors, indicating market confidence in Ethereum's future.

Market Optimism Drives Accumulation:

MAC_D believes that the significant accumulation in these HODL wallets is related to investors' expectations of regulatory policies under the upcoming Trump administration, especially with favorable regulatory expectations in the DeFi sector, prompting more investors to choose to hold Ethereum long-term.

Short-Term Trends Still Face Challenges:

Despite the optimistic long-term outlook, MAC_D warns investors that macroeconomic factors, such as potential interest rate cuts, could impact ETH's price in the short term. Currently, the price of ETH is $3,352, down 3.07% in the past 24 hours, with trading volume also decreasing by 53.25%. However, compared to the initial price point after the U.S. election surge ($2,397), Ethereum's long-term sentiment remains positive.

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