Can ETH still rise sharply? What changes have occurred in the fundamentals of Ethereum?
The first change: The ETH balance on exchanges has dropped to a record low!
As of August 10, the balance of Ethereum on exchanges has dropped to about 10%. This means that there are only about 12 million ETH in circulation on exchanges. The reduction in supply will theoretically lay the foundation for the rise in ETH prices.
This shows that investors are transferring ETH from exchanges, either saving it or keeping it themselves.
The second change: increased on-chain holdings
Recently, addresses holding 10-10K ETH and 10K-100K ETH have increased by a total of 757,000 ETH. Although retail investors are selling Ethereum, big whales and institutional investors are quietly buying it.
The third change: ETH network effect is enhanced
From the low point on August 5, the number of active addresses of Ethereum has surged by 130,000, from 440,000 to 571,000. At the same time, more than 60,000 new addresses have also increased. This shows that the ETH network is growing rapidly.
The activity on the L2 chain has also increased significantly recently, which was rare in the past. We look forward to the arrival of the application wave!
The last change: ETH/BTC exchange rate
Now the exchange rate of Ethereum has returned to the beginning of 4, and the downward oscillation range on the monthly chart is getting narrower and narrower, forming a classic cup-handle pattern. The longer the cup handle is, the greater the potential for subsequent increases.
The current price is $2,500. If it rises to $10,000, it will be a 4-fold increase. Considering other favorable factors such as ETFs and interest rate cuts, it is more promising to reach the goal of $10,000 when the bull market breaks out.