If Ethereum is reaching an “opportunity zone,” as Santiment claims, then the price is likely to begin a resurgence.
“ETH’s MVRV 90D, which gauges the mid-term profit/loss of holders, is revealing that we are close to entering the opportunity zone, which historically witnessed a local bottom being established with a solid R/R,” according to Santiment Insights, an on-chain analytics platform.
Santiment’s MVRV measures the emotional state of an asset at any given moment and uses probability to calculate the likelihood of future price movement. MVRV, or Market Value to Realized Value, is a ratio that tells you whether the price of an item is reasonable or unreasonably high. MVRV may be used to estimate market peaks and troughs on its own.
According to Santiment, in spite of the market conditions, Ethereum saw one of its highest weekly trading volumes, with the company noting that “this week saw the highest trading volume for ETH (even more than the previous meltdown in January 2022) and it looks like that’s some decent capitulation volume.”
In contrast to the previous year’s tendency of decreasing exchange balances, the first day of May witnessed a big spike in supply on exchanges as people hurried to liquidate their holdings. As a result, on May 12, Ethereum’s price dropped to a low of $1,701.
After a brief correction, Ethereum is now trading at $2,095, up roughly 3% in the last 24 hours. This is a new intraday high. The current price of Ethereum is $2,082.
An increase in big holders or retail investors may be to blame for the recent surge in the number of Ethereum addresses holding more than 10 coins.
Buterin recently revealed his personal problems in a series of tweets, calling attention to “some still open conflicts in my beliefs and my ideals.” Buterin co-founded Ethereum.
Despite his wish to see Ethereum grow more like Bitcoin, he acknowledges that getting there would need a great deal of short-term effort and coordination. Ethereum “needs to become an L1 that can endure extremely harsh situations,” according to Buterin.
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