It seems that Ethereum (ETH) extended his price stagnation period, traded at USD 1,770 at the time of writing. Assets have dropped by 3% over the past week and 1.6% in the last 24 hours, continuing the wider repair trend after reaching the height of the cycle of 4,27 USD in December 2024.
Although the price movement was narrow, the data on the chain suggests that some basic changes may affect market behavior in the near future.
Ethereum sees the immersion in the volume of the place
Cryptoquant Darkfost analyst has Reported The fact that the Ethereum point volume has a coherent decrease. Its analysis focuses on a bubble chart, which visualizes two dimensions: the size of each bubble represents the volume of the macular, and its color indicates the speed of change in volume.
According to the data, the bubbles have become smaller and lighter, which indicates that less transactions are carried out and that the rate of decrease in the volume slows down.
Although the decreasing point volume can traditionally be seen as a sign of a reduced investor’s interest or a delicate momentum, Darkfost interprets him differently in the context of market correction.
He suggests that a decrease in point volume during a decrease in a decrease may act as a stabilizing force, potentially reducing the likelihood of acute volatility jumps caused by high sales orders.
The lower volume during the repair phase may mean that sellers exhaust their positions or move to the side, creating the conditions of price consolidation. This can alleviate the intensity of down pressure and potentially pave the way for a more balanced market structure in a miniature period.
However, Darkfost was cautious in its interpretation, noting that the cooling volume does not necessarily means that the market has dropped. Instead, it can simply mean a transient break in volatility before the next move.
Long -term owners enhance the exposure despite unrealized losses
Meanwhile, in a separate updateThe analyst Cryptoquant Carmelo Alemán examined Ethereum’s long -term behavior and revealed that many ETH investors are still gathering, even when sitting in unrealized losses.
Catcution addresses, defined as wallets that consistently receive ETH without significant sales, are generally seen as powerful hands with longer investment horizons.
According to Alemán, on March 10, it meant a key moment when the average completed accumulation price fell below the ETH market price, pushing these portfolios to negative territory.
Despite this, the data show that the accumulation of addresses increased their balance by more than 22% between March and early May, will enhance from 15.5 million ETH to 19 million ETH.
This behavior reflects a powerful belief and suggests that long -term owners believe that Ethereum is underestimated at current prices. Historically, such accumulation during the deterioration of the economic situation was preceded by growth price movements, because the reduced supply on the market creates favorable conditions for the rally when demand is returned.
A distinguished picture created from DALL-E, chart from TradingView
