Ethereum Price Surge with Signs Pointing to a Reversal
Ethereum (ETH) has broken above $2,600 for the first time since October 1. However, despite signs of increased optimism, the rally may not be as smooth as it seems.
The analysis below will show some blockchain data that shows ETH’s rise may face many hurdles.
Ethereum Still Faces Many Challenges Over the past 30 days, Ethereum’s price has increased by 6%. In the last 24 hours alone, the coin’s trading volume has surged by 90%, indicating strong interest from investors.
However, data from IntoTheBlock shows that Ethereum’s Holding Period has decreased by 56% over the past 7 days. This metric measures the length of time investors have held onto the cryptocurrency without selling. Typically, longer holding periods are associated with bullish trends, while shorter holding periods usually signal bearishness. For Ethereum, the recent decline in holding periods suggests that despite the price increase, many holders are still selling ETH.
