IntoTheBlock reports that only 66% of Ethereum addresses are currently profitable, a level not seen since October 2023.
Ethereum’s RSI stands at 41.04, placing it in neutral territory, which some traders may view as a potential buying opportunity.
Despite a decline in total DeFi losses, the share of economic exploits is increasing, highlighting new risks in the sector.
IntoTheBlock, a market intelligence platform, reports that just 66% of Ethereum addresses are currently profitable. This drop has pushed many holders into the red, with profitability levels not seen since October 2023, when Ethereum was trading around $1,800. The market’s recent turbulence has reignited concerns among investors, reflecting the volatile nature of the crypto landscape.
Just 66% of Ethereum addresses are currently in profit.Last week's market downturn significantly impacted Ethereum, pushing many holders into the red. The last time we saw a similar percentage of profitable holders was in October 2023, when Ethereum was trading around $1,800. pic.twitter.com/XhMonaaSPA
— IntoTheBlock (@intotheblock) August 12, 2024
Ethereum’s price currently stands at $2,673.85, with a 24-hour trading volume of $17.2 billion. It has seen a 1.38% increase in the last 24 hours, pushing its market cap to approximately $321.6 billion.
With a circulating supply of 120,270,278 ETH coins, Ethereum remains a major player in the crypto market. However, the recent downturn has cast a shadow over its near-term prospects, as technical indicators reveal mixed signals.
Ethereum’s Relative Strength Index (RSI) on the daily price chart reads at 41.04. This figure places Ethereum in neutral territory, indicating that it is neither overbought nor oversold. Therefore, traders may see this as a potential buying opportunity if they believe the price will rebound in the coming days.
Source: TradingView
Additionally, the Moving Average Convergence Divergence (MACD) line is currently below the signal line, signaling a bearish trend in the short term. This development suggests that the downward pressure on Ethereum may continue, which could prompt some traders to consider selling or taking profits until the MACD line crosses above the signal line again.
Meanwhile, the DeFi sector continues to grapple with security concerns. IntoTheBlock highlights that total losses from DeFi exploits have declined each quarter. However, the share of economic exploits is on the rise. This indicates a shift in the nature of risks facing the DeFi ecosystem. As DeFi evolves, there is a growing need for economic risk mitigation strategies to advance alongside technological innovations.
The total losses from DeFi exploits have been declining each quarter; however, the share of economic exploits is increasing.To protect the ecosystem, economic risk mitigation must evolve alongside the technical advancements being made. pic.twitter.com/TDuJYxPufF
— IntoTheBlock (@intotheblock) August 11, 2024
Moreover, CryptoMichael13, a crypto enthusiast, reports that AI plays a crucial role within the GLQ ecosystem in the DeFi space. AI is used to develop accurate credit scoring models, improving loan approvals and reducing risks. These factors are key to enhancing GLQ’s market position in the DeFi sector.
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